PM denies knowledge of AWB kickbacks

The Prime Minister has denied he knew AWB was paying kickbacks to Iraq despite w
riting to the wheat exporter asking to be kept fully informed on Iraq wheat sale
s.
Letters from John Howard and Deputy Prime Minister Mark Vaile to AWB have been r
eleased by the Cole inquiry into the oil for food program.
In one of the letters Mr Howard asks AWB managing director Andrew Lindberg to re
main in close contact with the Government on Iraq wheat sales.
The Opposition's Gavan O'Connor says the letter was sent in 2002, the same time
AWB was paying kickbacks to Iraq though a Jordanian trucking company.
He says the Government can longer wipe its hands of the illicit payments, which
totalled $290 million.
"The responsibility for this must lay may squarely at the feet of Coalition mini
sters in trade, agriculture and the Prime Minister," he said.
But the Prime Minister says letters show he was inquiring about the future of wh
eat sales in Iraq and do not prove the Government knew of the payments.
"It would have been astonishing in 2002 if as Prime Minister I hadn't done anyth
ing I possibly could to preserve Australia's very valuable wheat market," he sai
d.
Email questions
Today at the inquiry, AWB trading manager Peter Geary has been questioned about
an email he received in May 2000.
It indicated that the Iraqi Grains Board had approached AWB to provide "after-sa
les service".
Mr Geary said he had forwarded the email to two AWB colleagues and did not remem
ber reading it, although he said he may have skimmed it.
Support
AWB still has plenty of support among grain growers in central western New South
Wales despite the revelations of the Cole inquiry.
Producers say they broadly support AWB's attempts to get the best prices for the
ir products.
"I think it's all a ploy by overseas interests to try and get the single desk pu
t aside. The stories that are going round about the commission and everything, I
think that's the way people have got to do things to do business with the Middl
e East and Asian countries," one producer said.
"I think it's actually a pretty reasonable system and I think actually I'd give
them pretty fair support at the moment. I think on average they've performed fai
rly well," another producer said.
"The biggest thing about someone else taking over is whether the multinationals
will get too much of a foothold in there and take it too much to their advantage
."
Grain prices
But an analyst predicts grain prices will drop another $20 a tonne on the back o
f the inquiry into AWB.
Malcolm Bartholomaeus says pool returns have already dropped by $20 a tonne this
year from the average price over the past five years.
He says the premiums that AWB was achieving through its wheat export monopoly ha
ve been severely eroded.
SA farmers help fire ravaged neighbours
Farmers in South Australia's south-east are donating truckloads of hay to their
neighbours across the border in the wake of the Grampians bushfires.
In just a few days, farmers have donated 250 tonnes of hay, as well as agistment
for cattle.
They say that is just the beginning.
Fodder drive coordinator Peter O'Conner says he has been overwhelmed by the resp
onse.

"All the hay that's going this week has all gone from places that have donated o
ne load or up to two loads of hay," he said.
"We've got one man that's donated two full loads and the rest are all one loads,
straight loads that we're moving this week.
Floodwaters close highway
A major highway between the Northern Territory and Western Australia remains blo
cked by floodwaters today.
The Victoria River has cut the Victoria Highway and also flooded the remote Pige
on Hole Aboriginal community.
Stockman Simon Ham describes the relocation of a hundred people to higher ground
.
"They had all their vehicles moved out of the community and they had a few camps
set up and they were moving more people and belongings out with a couple of boa
ts, just onto higher ground, only 500 metres from the community," he said.
"They are up on a sandstone ridge at the moment and I think the river heights mi
ght be up for a little longer but I think it [the Victoria River] will start goi
ng down."
Grain company sold for $9m
Tasmania's main grain company has changed hands for the second time in just thre
e years.
The former state-owned Tasmanian Grain Elevators Board has been sold to local ag
ribusiness Roberts Limited for about $9 million.
The deal includes silos at Launceston, Devonport and Powranna in northern Tasman
ia.
John Macleod from Roberts Limited says the company bid when the board was first
privatised.
"We were very disappointed we weren't successful at that point of time," he said
.
Wine workers stop work
Workers at Hardy Wines' Stanley winery in south-western New South Wales have wal
ked off the job for the second time in a week.
Forty staff walked out this morning in a dispute over a new enterprise bargainin
g agreement.
The stopwork comes just as the region's wine grape crush gets under way.
Hardy Wines took the matter to the Industrial Relations Commission (IRC) on Frid
ay.
Wool body eyes sportswear industry
The $50 billion global sportswear industry is the new target of wool promotion b
ody, Australian Wool Innovation (AWI).
AWI is showing wool blend t-shirts and casual wear to manufacturers this week at
the largest trade show for the industry being held in Germany.
AWI's Len Stephens says although wool-blend sportswear will be at the pricier en
d of the market, shoppers are willing to pay more.
"The sports apparel market sector is one of the biggest and certainly the fastes
t growing apparel sector in the world, and it's no secret that wool hasn't had a
very big share of that market at all," he said.
"The level of wool, particularly Australian merino wool in the sports market is
really almost below the radar.
Organisation to step up banning rodeos campaign
Tasmania's rodeo industry is under sustained attack from animal rights activists
after another animal had to be destroyed at a weekend event.
A bucking horse was put down after breaking a leg at Ulverstone on Saturday.
Two weeks ago, a bull was destroyed after apparently breaking its back during a
bull-riding competition at Carrick.
The owner of both animals, Brian Fish, says they were unfortunate accidents and

not an animal welfare issue.

But Emma Haswell from Against Animal Cruelty Tasmania says her organisation will
up its efforts to have rodeos banned.
Snails used in cancer research
New research is under way to investigate whether South Australian sea snails cou
ld eventually be used to treat cancer.
Until now the state's snail population has been virtually unexplored but Flinder
s University hopes to discover beneficial compounds in predatory sea snails, kno
wn as whelks.
Marine biologist Dr Kirsten Benkendorff says the work follows research overseas,
where clinical trials are now investigating anti-cancer properties.
"The whelks that I'm looking at at the moment are not currently harvested and no
t really considered a useful resource so I think that there's a lot of potential
economic benefits from that side of things," she said.
Processors fail to meet kangaroo meat demand
International demand for kangaroo meat is putting pressure on Australian process
ors.
Despite high prices, harvesting quotas are not being met leaving a big gap in th
e market.
Phil Franolick from King River International Processors in Perth says Europeans
are attracted to the meat's low fat content and Russians are consuming large amo
unts of kangaroo sausages and mince.
"As far as I know every skerrick of manufactured meat that is produced by human
consumption processors virtually goes to the Russian market now," he said.
People warned to be on snake alert
With temperatures soaring this summer, particularly in southern Australia, snake
s are on the move.
People are being warned to keep their eyes open out in the paddock, especially i
n areas hit by bushfires, with snakes forced from their usual habitat.
Maria Dovey from Reptile Rescue Tasmania has these words of advice.
"Any people who are regularly outdoors, whether they be camping, bush walking, p
eople who're on the land working, they must always carry at least two bandages w
ith them and a mobile phone," she said.
Aerial spraying begins to control locust threat
Victoria's high country farmers have begun aerial spraying to try to control the
threat of locusts.
It is the first time locust plagues have made it to the region, with continued r
ain and warm weather assisting breeding conditions.
Pastures and crops have already been wiped out by the pest.
Injury won't stop baton runner
A southern Queensland cattle farmer says a knee injury will not stop him running
in the Queen's baton relay today in the lead-up to the Commonwealth Games.
Stanthorpe's Bill Bonner travelled to Coffs Harbour in New South Wales to run hi
s leg of the relay.
And he says injury will not prevent him from making the 500 metre dash.
"About two weeks ago I was jumping off my motorbike and twisted a ligament in my
knee and I haven't been able to do more than walk since," he said.
"But I promise you I will run that baton because you get such an adrenalin rush
that I think you could only have one leg and you could still run it."
The NZ apple debate continues
In a New Zealand newspaper on the
stry voiced concern regarding the
Import Risk Analysis put out last
rt Risk Analysis (IRA) determines

weekend, members of the New Zealand apple indu

legitimacy of the "science" used in the draft
month by Biosecurity Australia. The draft Impo
the risk of fireblight and other pests and dis

eases if New Zealand apples are imported into Australia.

Under the World Trade Organisation's rules Australia can refuse the importation
of New Zealand apples if they are able to provide scientific evidence of a subst
antial disease or pest risk. But according to the New Zealand apple growers, "pr
ofessional" scientific evidence shows that mature apples imported into Australia
pose no risk of fireblight. However the spokesperson for the New Zealand based
Australian Apple Access Group Phil Allison says Biosecurity Australia has not pr
ovided the mathematical model used to determine the "scientific" evidence stated
in the draft IRA.
A spokesperson for Biosecurity Australia said: "the formulas used in the risk as
sessment are provided in the Draft Import Risk Analysis Report on New Zealand Ap
ples, which was published last December for anyone to read. A competent modeller
can reproduce the model used in the risk analysis from the formulas given in th
e report." The chairman of the fireblight task force, John Corboy, says the resp
onse and concern from New Zealand apple growers regarding the draft IRA is not s
urprising, but Australia has to be able to exercise its right to refuse the appl
es based on the scientific evidence it has presented in the IRA.
Younger trees producing more pears
A trial plot of young williams pear trees has produced fruit three years after t
hey were planted. Usually the trees don't produce fruit until they're about five
or six years old. The trees are part of a five year experimental project, funde
d by SPC Ardmona through the Canned Fruits Association, Horticulture Australia L
imited and the Lenne family orchard - where the trial plot is located.
Horticulture consultant Bas Van Den Ende says the aim of the project is to incre
ase the number of williams pears grown in the future by encouraging the younger
trees to produce earlier than usual.
Local federal National MP supports AWB single desk
The federal Member for Parkes, John Cobb, has brought into the debate over the f
uture of AWB. This comes as the Cole inquiry continues to examines AWB's role in
the Iraq oil-for-food program. On top of this the National party will today try
and reinvent itself. Mr Cobb says he supports the single desk and producers mus
t become far more pro-active. On the issue of the National party's future, he sa
ys they will make themselves different from the Liberals. Mr Cobb says they do r
epresent regional areas far better then his Liberal colleagues.
Fish deaths believed to be due to lack of oxygen
The Department of Primary Industries is investigating a big fish kill in the Lac
hlan River upstream of the Lake Cargelligo Weir. Between 150 and 200 native fish
died in the incident earlier this month. District Fisheries Officer Phillip McC
arthy says murray cod, bream and golden and silver perch were killed but no intr
oduced species died. He says inquiries suggest the deaths were the result of an
increased water flow not chemical poisoning.
Vegetable industry concern on labels
Agriculture group AUSVEG says food labelling laws in Australia are a joke becaus
e nobody follows them and enforcement of the rules is non-existent. AUSVEG says
consumers are still being fooled into thinking they're buying Australian product
s because of false or poor labelling.
Red tape slows west Kimberley horticulture
The Kimberley could be WA's food bowl with its top soil, available water and sun
shine all year round - though its facing hurdles to expand. Sweet potato grower
Paul Higgins still relies on a generator and says Broome horticulturalists are t
he only ones in the state not connected to the grid. He and his neighbours have
been applying to get a nine kilometre extension to the current grid system to br
ing them into line. A spokesperson from Western Power says it is possible, thoug
h it's up to customers to pay for their connection costs, regardless of the dist
ance from the existing grid. Land acquisition is also causing headaches. Mr Higg

ins purchased adjoining country last June, though still hasn't received title. H
e can't improve the land until this is cleared. "All the issues have been resolv
ed - area surveyed, native title issues have been put to bed, monies have been p
aid, but still we don't have land title. We can't clear the land, apply for wate
r title, can't do anything," he said. The Minister for Planning and Infrastructu
re, Alannah McTiernan, says the seven month delay is regrettable and Mr Higgins
should have been made aware of the hold up in the West Australian Planning Offic
e because the land was not correctly zoned. Though Ms McTiernan says the delay m
ay have worked in his favour, given the land was sold at 2004 property prices. M
r Higgins still waits for the official all clear before he can start ploughing t
he Pindan for more potatoes.
Richmond River to stay open to fishers
The Department of Primary Industries has decided against closing the Richmond Ri
ver to commercial and recreational fishers in the wake of last week's fish kill.
About 300 dead fish and eels were discovered near Wardell last Thursday, when o
xygen levels in the water dropped alarmingly. The acting director of fisheries m
anagement, Anthony Hirst, says inspectors will take further samples from the riv
er tomorrow.
Rural woman finalist
The next 10 days may seem like an eternity for one at least one Rosebank farmer.
Catherine Ford is one of three finalists in the quest to find the New South Wal
es Rural Woman of the Year.
The macadamia producer hopes a win in the event will help her to produce a guide
promoting sustainability in the industry, but she admits she's amazed to have e
ven made it this far.
DSE 'is carrying out proactive Grampians burning off'
On the rural report yesterday we heard farmers and CFA officers say they feel th
e intensity of the Grampians fires could have been lessened if more fuel reducti
on burns had been carried out in the national park. Charley DeFegley, who's the
Ararat VFF branch secretary and a CFA divisional commander, said he felt not eno
ugh burning off had been carried out and this had contributed to the destructive
force of the fire. But the Department of Sustainability's fire manager for the
Horsham district and incident controller for the Grampians fires, Geoff Evans, s
ays the agency has a proactive burning off policy. He says burning off is hamper
ed because some landowners are not keen about burning off beside their propertie
s and the weather does not allow controlled burns at some times of the year, giv
ing a very small window of opportunity. He says there is also strong division wi
thin the community about whether more or less burning off should be carried out
in the national park. But Mr Evans says about 5,000 to 8,000 hectares of the par
k are burnt off every year.
Farmers and ag agencies get speedy aid to farmers
The state government has announced it will commit millions of dollars to the rec
overy effort for the new year bushfires including the blaze in the Grampians and
a ministerial task force is to start assessing need. The government says it wil
l also help landowners facing hardship as a result of their water supplies being
used by firefighting. But already, Department of Primary Industry officers, the
Victorian Farmers Federation, haulage contractors and farmers all over western
Victoria, have been working at a grassroots level to help fire affected landowne
rs. Hundreds of tonnes of hay, 21 semi-loads of which was brought to a collectio
n point at Moyston from Warrnambool yesterday, has been donated to farmers who n
eed fodder for their surviving animals. Bruce McKay says he has been on farms he
lping to put sheep down and fixing fencing in the Willaura area. Tim Wrench from
the Warrnambool Coop says people came from all around the area to donate hay. H
aulier Scott Wilson from Koroit said when he went onto farms to collect hay peop
le said "just load up until you're full". Neil James from the DPI says hay is be
ing donated from New South Wales and South Australia. Charlie DeFegeley from the

VFF says the response has been amazing.

Fuel price, weather blamed for hike in fresh food costs
Fuel prices and fluctuating weather conditions are being blamed for a 12 per cen
t jump in the cost of fresh food over the past year.
The latest food industry analysis from Rabobank shows consumers are paying more
for their milk, meat, fruit and vegetables.
But Rabobank's Dr Ben Russell says the money is going to manufacturers and proce
ssors, not growers.
"In the case of passing on higher fuel prices it's to the contrary because farme
rs have got to pay higher fuel prices as well as see the retail prices of the pr
oducts they're producing going up," he said.
Low prices, falling demand slow down wheat exports
Wheat exports have slowed due to low prices and falling demand from Australia's
traditional markets.
Despite some sales to Egypt, other markets including Iraq, Pakistan, China and I
ndia have failed to deliver the expected number of contracts.
With the second largest global crop on record, competition for tenders is partic
ularly fierce.
Grains trader Lloyd George says there are a range of factors for the slow-down.
"Certainly Iraq has been an important customer of Australia's over a period of t
ime, put in pretty significant tonnages and over the recent months AWB hasn't be
en exporting the quantities we have in the past," he said.
"But there's a whole bunch of broader issues out there as well. A lot of the mar
kets whereby Australia would hope to sell the quantity of the harvest into are t
he same markets that are quiet this year."
Iraq market
AWB's national pool manager David Johnson denies the oil-for-food inquiry is hav
ing an impact on trade and says Australia has not lost Iraq as a major market.
He says AWB submitted a tender to supply a million tonnes of wheat to Iraq last
week.
"We'll be looking to participate in that tender, absolutely," he said.
"Probably relatively, compared to the structure of the market in previous years,
this pool return might look a little different but the world market is differen
t.
"I think it's just a fact that the export business is extremely quiet and I thin
k you'd find the same comments from other exporting countries around the world."
AWB has announced an increase to new season pool estimates, lifting the returns
for hard wheat by $2.00 a tonne and for noodle grades by $4.00 a tonne.
There is a mixed outlook for other grains.
Record soy bean harvests in the US, Ukraine and Brazil mean there is a large glo
bal supply of the canola alternative, which will put pressure on oil seed prices
in Australia.
David Syme from the WA Grain Pool says malting barley sales have been slow due t
o the Chinese New Year but sales should soon pick up.
"At this point in time, Australia really has been holding the major stocks of ma
lting barley around the world," he said.
"The Canadians don't have a lot to offer to the marketplace, that puts us in a g
ood position and of course the next lot of supplies of malting barley really com
e out of Europe in August, so some time away yet.
"Once the Chinese re-emerge we look forward to a strong selling program."
Inquiry chief
Meanwhile the head of the oil-for-food inquiry has yet to respond to complaints
that the investigation is not being conducted fairly.
Counsel for AWB told the hearing yesterday that witnesses had been ambushed and
ridiculed.
The comments were in response to criticism from Commissioner Terence Cole last w

eek that AWB's level of cooperation was a facade.

AWB's lawyer said Commissioner Cole's expectations were unreasonable because of
the time available to prepare witness statements and the availability of documen
ts.
In another development, the New South Wales Farmers Association says it is prepa
red to fight to maintain the single desk for wheat exports.
Despite keeping a low profile since the start of the inquiry, the association ha
s today come out in support of the current monopoly export system.
Grains committee chairman Angus McLaren says growing pressure from opponents of
the single desk is concerning but grain growers are prepared for any challenge t
o their marketing system.
"I think the most important thing we can do and what we've been concentrating on
doing is gathering our thoughts and doing research and preparing for the battle
that we think probably will occur," he said.
Lib MP pushes for NZ apple ban
A federal Liberal Party MP is pushing for a permanent ban on apple imports from
New Zealand.
Russell Broadbent from the seat of McMillan, east of Melbourne, is drafting a pr
ivate member's bill to ban imports from any country with the disease fireblight.
Federal Agriculture Minister Peter McGauran has rejected the bill, saying it wou
ld also affect a wide range of imports and exports.
But Mr Broadbent says he will push on with the plan.
"Mr McGauran is the Minister but he doesn't actually have many orchards in his s
eat of Gippsland does he?" Mr Broadbent said.
"So I don't suppose he's exposed as closely to the issue and as passionately to
the issue as many of the backbench members are across the nation."
Avocado growers to compete with NZ imports
With harvest about to begin, avocado growers are facing stiff competition from N
ew Zealand imports.
For the past five years, the imports have petered out before the start of the lo
cal harvest but this year a record New Zealand crop has led to a 50 per cent jum
p in exports to Australia.
North Queensland's Shepard avocados will be the first to be picked here.
Shepard Australia chairman Jim Kochi says growers need to focus on sending quali
ty fruit to the markets.
"They certainly don't have enough people left in New Zealand to consume their cr
op, I think they're all here in Australia ... most of them and so the rest of it
is coming to Australia and it is a large volume of fruit," he said.
Govt urged to get tougher on enforcing food labelling laws
Fruit and vegetable growers are calling on the Federal Government to get tougher
on states which do not enforce country-of-origin labelling laws.
Producer group AUSVEG says some states are not pushing for new laws to be implem
ented on fresh and packaged produce, and that is misleading consumers.
Chief executive John Roach says the Australian Consumer and Competition Commissi
on (ACCC) needs to look at the issue again.
"Excuse the pun out of the vegetable industry but you do need a reasonable amoun
t of carrot and you do need a little bit of stick," he said.
"And what has not happened with any consistency across Australia is that last on
e, that bit of stick, it is not consistent - it varies hugely and often there ar
e cases where it doesn't exist at all."
The ACCC says the labelling issue has been looked at and the authority is satisf
ied with current compliance.
Growers to get less for currant crop
Dried fruit growers supplying Australia's largest processor have been dealt a ma
jor blow.
Uncontracted currant growers have learnt that they will receive just $650 per to

nne for their fruit this year, half of what they were paid last year.
Code of conduct for rodeo organisers
Rodeo organisers in Tasmania will have to comply with a mandatory code of conduc
t in the future.
The code is being implemented after a public outcry over rodeo practices.
There have been two very public incidents at rodeos in the past fortnight that h
ave outraged animal rights activists and the television watching public.
A bull was put down after dragging its paralysed hindquarters behind it as it le
ft the ring and on Saturday a bucking horse was put down in the arena after it b
roke a leg as it exited the chute.
The public outcry has forced the State Government to declare a mandatory set of
regulations will soon be enforced on all rodeos before a permit is issued.
A major requirement will be for a vet to be on site at all events, rather than o
nly on call.
Camp cooks in demand
Camp cooks and grader drivers are proving the hardest jobs to fill on cattle sta
tions in northern Australia this year.
The lure of high-paying mining jobs has kept many away from the Kimberley, in pa
rticular.
While they have been lucky to get a full team at Flora Valley Station near Halls
Creek, manager Wayne Bean says camp cooks are a dying breed.
"One time, once people finished working as stockhands or ringers on stations the
y found their little niche in life, either cooking for the station, or driving t
he grader or running as a bore runner but that just doesn't seem to be happening
now," he said.
"People are drifting off into the mines and other big corporations and there's s
till a few that seem who enjoy being on the stations, and it's not about money f
or them.
Flooding causes detour
Floodwaters in the Northern Territory are still blocking a major highway today.
The Victoria Highway between Katherine and Kununurra is cut by swollen rivers in
at least three places.
NZ shearers break work record
A team of New Zealand shearers has broken the world three-stand lamb shearing re
cord
Jimmy Clarke and Peter and Shane Harvey shore 2,350 lambs in nine hours at Mt Li
nton Station on the South Island yesterday, breaking the record by 400 head.
Peter Harvey says he has always wanted to shear 700 head a day and has now achie
ved that goal but did not realise how hard it would be.
Live exports to Egypt halted
The Federal Government has halted live cattle exports to Egypt in the wake of mi
streatment claims.
Agriculture Minister Peter McGauran says $350,000 was spent on improving the tre
atment of cattle at the Bassatin Abattoir in Egypt after cruelty concerns were f
irst raised in 2003.
But Channel Nine's 60 Minutes program last night showed footage of cattle having
their tendons cut, which the program says was filmed last month.
Mr McGauran says his decision to halt the trade while the claims are investigate
d, is not an extreme reaction.
"We shouldn't be defensive about this," he said.
"Where allegations are made, no matter how ill-founded or how lacking in evidenc
e we must confront it head-on if we are to retain the confidence of the general
public and fulfil our responsibilities to farmers."
Meat and Livestock Australia says the ban sets a bad precedent.
General manager of live exports, Mike Hayward says he is certain the cattle show

ed in the 60 Minutes footage were not from Australia.

And he denies suggestions little has changed since the cruelty claims were first
raised three years ago.
Iraq will still buy Aust wheat, Vaile says
Trade Minister Mark Vaile has confirmed Iraq will continue to buy Australian whe
at but not from current exporter AWB, which is facing claims it paid kickbacks t
o Saddam Hussein.
But according to grains analysts Australian growers could stay shut out of Iraq
until August.
While some grain exporters have already lodged applications to export to Iraq, g
rains analyst Lloyd George says the next Iraq wheat tender may not by for anothe
r four months.
"Not having access to Iraq for maybe 60 per cent of the year would be significan
t," he said.
But following his mission to Baghdad, Mr Vaile says Iraq could be ready to take
as much as 350,000 tons of wheat a month, but cannot confirm any deal or when it
may start.
"There will be further tenders coming up in the short term, we need to look at w
hat mechanisms need to be deployed in the meantime to get our wheat growers acce
ss to that," he said.
Meanwhile representatives from grain companies ABB Grain, CBH and Graincorp are
meeting with federal politicians today.
Western Australian Liberal Wilson Tuckey has organised the meeting to allow MPs
to meet alternative grain traders and learn more about the grains industry.
ABB's managing director Michael Iwaniw says while his company is not advocating
change to the wheat single desk, it is ready to take advantage of it.
"If, and I stress if, the legislation were to change and if there were opportuni
ties, and if perhaps we could assist in the marketing of wheat for the benefit o
f Australian growers then we will certainly look at it," he said.
A lecturer in business strategy at Melbourne Business School says grain growers
would be better off without a single desk.
Professor Paul Kerin says the oil-for-food inquiry justifies the need to introdu
ce free competition, and let alternative exporters to enter the market.
Professor Kerin says the ability to spread risk is the key for growers.
"Under free competition, growers have a choice and if one of those traders messe
s up, then it's not so much of a problem for growers because they can change to
another trader," he said.
"In fact, growers should have the right to punish a trader if they really mess u
p, and so growers will be better off.
Wool market expected to continue gaining ground
The wool industry is closely watching how China reacts to climbing wool prices w
ith the season's biggest sales this week.
More than 82,000 bales are on offer in the wake of strong global interest which
has pushed prices to a season high of 746 cents a kilo clean.
But Maurie McNeill from Elders Wool says despite some concern among buyers, the
market should continue to gain ground.
"We've got the largest offering of the season coming up this week, so obviously
yes we are cautious and we're seeing quite a bit of Chinese resistance at these
levels," he said.
Harvey Beef handover delayed
The handover of Western Australia's largest beef processor and exporter Harvey B
eef has been delayed while the new owners try to strike a deal with workers.
The Stark-Harmony consortium was due to takeover today but has asked for a one-w
eek delay to allow workers to vote on a new enterprise bargaining agreement.
Feedlotter Paul O'Meehan who helped broker the Stark Harmony deal, says he hopes
they can sign off on the deal by next Monday.
"The new owners are better off getting these problems sorted and starting with a

fresh slate rather than going into business and not being organised," he said.
Campaigners worried about approval of 'terminator technology'
Gene ethics campaigners are concerned a technology which stops seeds breeding na
turally will be approved for commercial cropping in Australia.
Members of the United Nations Convention on Biological Diversity, including Aust
ralia, banned "terminator technology" in 2000, when global protests forced biote
ch company Monsanto to state it would not commercialise the process.
But Bob Phelps from the Gene Ethics Network says the Federal Government is now r
econsidering its stance which would threaten the natural biodiversity of seed cr
ops.
"At a recent meeting in Granada in Spain, the Australian Government was arguing
that the current ban should be modified," he said.
"The officials are saying that there is no ban on terminator in Australia at the
moment and that any application that was made to the Australian regulators woul
d be examined on a case by case basis."
But Dr Jim Peacock from the CSIRO's Plant Industries does not see the technology
as a threat.
Research to investigate fish movements
Marine scientists say it is too early to tell whether climate change is responsi
ble for a new mix of marine species being found in Tasmanian waters.
Increasing numbers of southern Australian fish are being discovered off Tasmania
's coastline.
Two silver drummers were recently caught for the first time off the wharf at Sta
nley in the state's north-west.
CSIRO scientist Dr Peter Last says research is being carried out into whether cl
imate change and warmer water is the cause.
"It turns out that something like 10 per cent of the species that we have in the
coastal areas of Tasmania have moved further south," he said.
WA braces for third cyclone
The north-west of Western Australia is bracing itself for a third cyclone in as
many months, as a tropical low develops off the Pilbara coast.
The Bureau of Meteorology expects the low to intensify rapidly and develop into
a cyclone later today.
Aquatic weed to be tested overseas
An invasive aquatic weed is proving extremely hard to eradicate from the Norther
n Territory.
Cabomba has been discovered in the remote coastal community of Gove.
Further west, the Darwin River has been found to be the only place in the nation
where the weed is producing viable seed.
Regional weed officer Steve Wingrave says that explains the rapid spread of the
weed along 11 kilometres of the river.
"It's an ornamental plant, the same as roses or any plant you have in your garde
n," he said.
"Lots of them are hybrid varieties so they are not going to produce viable seeds
.
"It turns out that we have got a variety which is producing viable seed. But it
mightn't be a result of the variety we have got.
Farmers look to overhaul image
A campaign to overhaul the image of Australian farmers kicks off in Queensland t
oday.
The "Every Family needs a Farmer" promotion is being run by Agforce and features
the Coe family, from Durong, in the state's south.
Cattle and grain producer Karen Coe hopes it will change city people's perceptio
ns of agriculture.
"Just even on small terms we have friends come out and say goodness you've got l

ots of trees and they don't fully understand that the way we farm these days is
very different to driving a tractor around the paddock and ploughing, ploughing
and ploughing," she said.
New marine species found in reef survey
Several new species of fish, plants and at least one new species of crab have be
en discovered in a big new survey of the Great Barrier Reef.
Dr Roland Pitcher from the CSIRO says scientists spent more than 300 days at sea
covering 536,000 square kilometres of the reef from Cape York to Fraser Island.
"We've seen a number of new fish, possibly a new pipehorse and maybe a new speci
es of crab at least," he said.
"And we can also confirm that there's been a number of species that have been co
nfirmed in Australia waters for the first time.
ABARE Outlook 2006 conference
Today's National Rural News was broadcast live from the ABARE Outlook conference
in Canberra.
Matt O'Sullivan: "The Bureau of Agriculture and Resource Economics is taking its
best shot at predicting what's going to happen in the farming and mining sector
s over the next 12 months. It's fairly good news so far, depending on how you lo
ok at it, because it appears there won't be too many nasty surprises for the nat
ion's farmers this year. James Martin has been talking to ABARE to get the lates
t, what's the story James?"
James Martin: "Matt, I don't usually like using the word normal when it comes to
forecasting, but this is as normal an outlook as what I can remember. It's a st
ory of continuing to build after drought, but with that predictable warning that
without greater improvement in world trade conditions, the terms of trade for f
armers are really going to squeeze. ABARE tells us though that perhaps more of t
he same is not necessarily a bad thing. His morning, for instance, it's telling
us that the grain harvest for 05-06 is the second highest on record. We've also
seen, of course, good movement of beef into Japan, and we're even seeing some re
bound in the wool price as well."
Matt O'Sullivan: "So it seems that there is going to be higher production in man
y areas in the time ahead. Is that going to translate to more money in farmers'
pockets?"
James Martin: "Not necessarily. Overall we're seeing export earnings at a record
$134b, that's including minerals and energy. Now in the farm sector alone, thos
e export earnings are tipped at $29.6b in 06-07, so that's up 6 per cent on last
year. But the warning is commodity prices are going to decline across many area
s, so while we have increased production pushing up export earnings from wheat,
rice, barley, sugar, wine, lamb, live exports and dairy, we also have prices for
many items falling. Overall, ABARE says commodity prices in the ag sector will
fall by about 1.7 per cent, following a rise in 05-06 of about 1.4 per cent. So
the bottom line I suppose, the net value of farm production, will actually fall
to around $6b in 06-07. That's down 6 per cent."
Matt O'Sullivan: "What about the economic picture being painted by ABARE's chief
, Brian Fisher?"
James Martin: "Economic growth should continue at about 4 per cent, which it has
been doing over the last 12 months or so. There has been talk of that "super-co
mmodities cycle" which is helping growth in the minerals and energy sector actua
lly cascading into agriculture. The message from Dr Fisher though is that won't
happen:"
"There have been people talking about the notion that we've got a super commodit
ies cycle that a whole lot of the action that we've seen in minerals and energy
will then cascade into agriculture. I think frankly that's a bit simplistic. A l
ot of the story in the case of agriculture is on the supply side. We are as I sa
id before seeing a good strong demand, but in the case of agriculture, it's both
a demand and supply story".
"Brian Fisher also says that farm costs, things like fertiliser and fuel, will a
ctually increase by about one per cent. Now on oil, the benchmark for oil prices

, that's West Texas Intermediate Crude, that'll stay high in the near term, but
over the medium term, down from the current 65 dollars a barrel down below $40 a
barrel by 2010. On the dollar, a moderate depreciation, around US73c for 06-07,
continuing down though by 2010-11. That's a long way ahead, but Brian Fisher's
saying perhaps around US65c for the Australian dollar."
Alan Oster (National Australia Bank): "We think the Aussie dollar is probably go
ing to get down to the levels that ABARE's talking about, except that we think i
t's going to come down a lot quicker. So we expect something like 68c by this ti
me next year."
Matt O'Sullivan: "And that's going to have a big impact on exports?"
James Martin: "It clearly helps in some senses, in the sense that it means you'r
e more competitive, but if you're on the import side, the oil price goes down in
US dollars, but it really doesn't go down at all."
Matt O'Sullivan: "Now I don't think you've got very good news about rural commod
ity prices?"
James Martin: "Again part of this is that we have a faster fall in the currency,
is that in our view, when we look at US dollar agricultural prices, we're down
around ten per cent. Now part of that is beef, which has come off really high le
vels, and we think sugar eventually will start to slow down as well. So we're ex
pecting prices to come back, and the volumes broadly to offset that, so you get
those different effects coming through.
Matt O'Sullivan: "So that might be a faster impact than what ABARE's predicting?
"
James Martin: "Yes."
Matt O'Sullivan: "You've also been talking about continuing concerns about the l
abour shortage, particularly skilled labour?"
James Martin: "Yes, when we run our business surveys we find it is very difficul
t, in fact, even in December this year, it's more difficult according to busines
s to get suitable labour than any time, including the late 80s."
Matt O'Sullivan: "So the concern is always, will that show up in wages?"
James Martin: "At this stage, the good news is nothing's happened. That's why th
e Reserve Bank is still talking about if we're going to move rates it's more lik
ely up than down. At the end of the day, our view on rates will be, they won't d
o anything, but the wages one is critical, and if they see any signs of wage pre
ssures starting to move up, then they will pull the trigger."
Matt O'Sullivan: "Will the importation of labour be likely to hold off wage incr
eases?"
James Martin: "To the extent that you can take some pressure off by increasing t
he level of immigration, that clearly does help. And in the rural sector we know
about difficulties of getting people in to help with crops, so it helps there.
But at the end of the day, I think yes, there's an element of that, but I think
also the domestic part of the economy is really starting to slow a bit as well,
so I think unemployment's going to go from 5.2, 5.3 up to about 5.7, 5.8, and th
at will help. So I think the fact is that within the economy as such, you're pro
bably not going to have to do anything."
Matthew O'Sullivan: "Around Australia, you're listening to a special broadcast o
f National Rural News from the ABARE Outlook Conference in Canberra.
"Well, the Federal Agriculture Minister Peter McGauran told the conference this
morning that the NFF and the government aren't in total agreement about imported
workers being a solution to the labour shortage, but certainly agreed there is
a problem.
"John Roach joins us now, he's the chief executive of vegetable grower group Aus
veg, John is this a critical issue for the horticulture industry?"
John Roach: "I think not only critical to the horticulture industry, it's critic
al to rural Australia, and I'd probably go so far as to say that rural Australia
's undergoing significant change in its labour content that it will require, par
ticularly in the next five to 10 years."
Matthew O'Sullivan: "What about these guest worker schemes? Are they having an i
mpact in your sector?"
John Roach: "If I look at other countries, yes it does. If I look at New Zealand

, part of the horticulture industry in New Zealand does use what I call cheaper
labour. What they're doing there is bringing it it in, upskilling it there, and
sending it back to those countries as part of their aid projects, for example. W
e in Australia don't have that opportunity at the moment, but if I look at the f
arm unit in itself, as vegetable growers, much of the innovation happens on smal
l to medium farm businesses. It's not the big end of town in vegetable productio
n. So that area is where the innovation happens. You'd require less labour in th
at, but you'd need more specialised labour.
Matthew O'Sullivan: "Is there a need to protect smaller farmers in the future?"
John Roach: "It's more about going to informed choice. The vegetable industry in
particular will segment itself into three areas. One is larger production, larg
er farms, working on lowering costs. The middle section is about innovation, sma
ller farm units being out there on the cutting edge. The last third of the indus
try produces about five per cent of production. I think providing informed choic
e for that sector, of what they actually do with their lives and their farms and
their assets, I think it's really important for Australia on social content to
be able to allow those people to make informed choice about whether they wish to
grow, or not grow and depart."
Matthew O'Sullivan: "We've also heard a lot over the past few years about the si
gnificant of China to the global economy, and Australian agriculture. Reporter S
ally Davison has been looking at the impact of China on the world economy. Sal,
this week is critical in terms of China's future in the global market?"
Sally Davison: "That's right, the National People's Congress is releasing its fi
ve year plan, a blueprint for national policy makers. This will affect everythin
g from urbanisation, migration into major cities, to unemployment. But Yiping Hu
p from Asia CitiGroup says the energy sector will be most affect by these change
s. The Chinese Government has said it wants to increase energy efficiency by 20
per cent in the next 20 years, by focussing on environmentally friendly industri
es. So the international energy sector is eagerly awaiting the release of the Ch
inese Government's five-year plan."
Fresh roadkill sought for WA snake study
Roadkill is set to help scientists unlock the largely mysterious world of snakes
in the far north of Western Australia.
Travellers are being asked to keep their eyes out for specimens that can be stud
ied.
David Pearson from the Department of Conservation and Land Management says venom
ous and whip snakes from the Kimberley are of particular interest.
"The thing is they're only useful when they are really fresh," he said.
"For instance if a snake is hit during the night, you get it first thing in the
morning or that very night, by the time the sun gets to them and birds of prey a
nd other things like that, they are smelly and a bit putrid - no one wants to se
e them in their freezer and they certainly don't make good museum specimens!
"If they've been run over a couple of times by a road train, they're not very us
eful!"
Swan Hill ethanol distillery work to begin
Work will start next month on a $60 million ethanol distillery at Swan Hill, in
Victoria's north-west.
Australian Ethanol has raised 12.5 million for the project, which should be on l
ine by the end of the year.
Chief executive Peter Anderton expects the facility to process 300,000 tonnes of
barley, corn, wheat and sorghum a year.
Cattle producers lean towards smaller exports
Cattle producers in the Northern Territory are leading a push towards smaller li
ve export vessels, despite a growing number of large ships entering the trade.
Italian firm, Siba Ships, has enlarged its fleet with three new vessels, due to
enter the trade by the end of next year.
Steve Ellison from the Northern Territory Livestock Exporters Association says h

e has been surprised to see a determined swing away from large ships, with their
lower freight rates.
"We are getting a bit of a backlash from producers who would prefer to see (thei
r cattle) go on the smaller ships," he said.
"I think that a lot of the producers realise that they think those big ships are
n't quite all beer and skittles.
"In fact, I bought some cattle a few weeks ago and one of the provisos was that
I had to give a guarantee that they wouldn't go on a big ship.
Bird flu diagnosis training stepped up
The CSIRO is training Department of Agriculture staff in every state and territo
ry to improve the nation's ability to diagnose a bird flu outbreak.
An avian virologist at the agency's laboratory in Victoria, Paul Selleck, says b
ecause many Asian poultry flocks are vaccinated, symptoms are masked, making the
virus difficult to detect.
In Australia though, the disease should be easier to detect, because birds aren'
t vaccinated.
"In chickens we see swollen heads, excessive expulsion of liquid through the mou
th," he said.
"They also become depressed, and you start to see haemorrhages on the unfeathere
d parts of the skin such as the feet.
Promising findings in fight against pests
Australian vineyards could one day be free of pesticides.
Research in South Australia has found predatory insects including wasps could in
stead be used to eradicate pests like the brown apple moth.
University of Adelaide PhD student Cate Paull has spent four years studying pest
s and insects in the Coonawarra, and says the results are promising.
Vic growers to let grapes rot
For the first time, grapes will be left to rot this harvest in one of Victoria's
premium grape growing areas.
Poor prices and a lack of contracts are being blamed for the plight of growers i
n the King Valley, in the state's north-east.
Producing 30 per cent of the state's top, higher priced varieties, Wendy Batey f
rom King Valley Vignerons, says growers are too scared to talk publicly.
"Well growers are really reluctant to speak out because they're in such an incre
dibly vulnerable position financially," she said.
"They've been selling, many of them have been selling grapes for four years belo
w cost and they're basically quite frightened of jeopardising their fruit sales
this year.
Controversial Qld water charges suspended
The Queensland Government has suspended controversial new water charges, which i
rrigators had been refusing to pay.
Premier Peter Beattie will defer the introduction of the $4 a megalitre charge,
and $100 annual bore licence fee, until a review is conducted.
The funds were to be used to manage the state's water resources, but Paul Schemb
ri from Canegrowers says irrigators were angry at a lack of transparency.
"In the short run we were very outraged by the introduction of this new tax, mak
e no mistake," he said.
"It was a brand new tax.
""I guess the issue is, how transparent is the process? how independent is it?
Ministers urged to reject trucking fees hike
Farmers are calling on state and federal transport ministers to reject a proposa
l to increase trucking charges, ahead of a vote on the new fees tomorrow.
The National Transport Commission wants registration costs for B-doubles and roa
d trains to rise by 37 per cent, and fuel taxes for heavy trucks to climb by 10
per cent.

The Federal Government, along with the ACT, South Australia and Tasmania have al
ready said they will vote against the charges.
Ben Fargher from the National Farmers Federation, says the increases go beyond c
ost recovery for the trucking sector, and farmers will end up wearing them.
"We need the most efficient freight transport task, the most efficient mode in t
his country and we need to look at the policy between road and rail," he said.
"Indeed the Productivity Commission has just been tasked with looking at that.
Oil-for-food inquiry terms widened
The Federal Government has widened the oil-for-food inquiry, to include an inter
nal AWB investigation into the allegations that kickbacks were paid to Saddam Hu
ssein.
Cyclone Larry devastates FNQ farms
The most powerful cyclone to cross the north Queensland coast in 20 years is con
tinuing to cause havoc as it moves west.
The core of the category 5 Cyclone Larry crossed the coast near Innisfail, aroun
d 7:00am AEST, with wind speeds of 290 kilometres an hour.
Banana grower Naomi King says their property has taken a heavy battering.
"We've lost most of our trees, we've lost a fair bit of the car shed, we've lost
another shed just over from our house and it looks like the iron on the lime sh
ed just over the back of the house is lifting up too," she said.
Farmers shouldering vegetation cost, says McGauran
The Federal Agriculture Minister has told a national conference that farmers are
bearing too much of the cost of conserving native vegetation.
The Vegetation Futures Conference at Albury in southern New South Wales is looki
ng at how to balance conservation with production on farmland.
More than 400 scientists, government representatives and land managers are atten
ding the four-day conference.
Federal Agriculture Minister Peter McGauran threw the cat amongst the pigeons in
his opening address, saying that some state legislation is too focused on prote
ction, sacrificing farm production.
He has announced funding of $2 million over the next two years for pilot project
s to develop more flexible approaches to managing native vegetation.
The project will look at things like incentive payments and offsets.
He has also launched a comprehensive database containing information about Austr
alia's native vegetation.
Meanwhile Mr McGauran has rejected suggestions the Government could buy water fr
om irrigators to improve the health of the Murray River.
Parliamentary secretary to the Prime Minister, Malcolm Turnbull, has floated the
idea to meet the targets of the Living Murray program, because not enough water
savings have been found.
But Mr McGauran says it is too early to talk about entering the water market.
Japan's mad cow case worries cattle industry
The Cattle Council is worried about a consumer backlash against beef in Japan, a
fter the latest outbreak of mad cow disease.
Japan has confirmed its first case of the disease in cattle specifically raised
to provide meat.
All 22 previously confirmed cases of the disease were in dairy cattle.
Council President Bill Bray says Japan is our biggest customer for beef exports,
and the Japanese consumer is very conscious of food safety.
"It is a concern, it's a wagyu cow that's some 14 years old and it is the 23rd c
ase that's been identified in Japan," he said.
Record-busting market growth expected to continue
Analysts are predicting the Australian sharemarket will continue its record grow
th, after it broke the 5,000 benchmark yesterday, for the first time since listi
ng in 1987.

Hartley's director John Featherby, says the strength of the Australian mining an
d energy sector bodes well for the year's trading.
"Well if you measure it by the All Ordinaries index, it's going to be pushing cl
ose to 5,500 by the end of the calendar year, in my opinion," he said.
NZ Govt accused of ignoring farmers
Wool prices are down, it is hard for dairy farmers to break even, and the govern
ment is interfering - it might sound familiar, but those concerns are coming out
of New Zealand, not Australia.
New Zealand's Reserve Bank has cut its national growth forecast, citing a sevenyear low in farm incomes.
And while farm businesses across the ditch contribute to 15 per cent of the econ
omy, farmers say they are being ignored by government.
Don Nicolson, from the Federated Farmers of New Zealand, says the Government is
over taxing and interfering, and it is hard to make a buck.
"You would wonder whether they take notice of us," he said.
"We have been continually telling them the same thing for many years: we don't n
eed government assistance in our lives.
"We just need the framework to operate our business to be as free and as friendl
y as we can have it.
Wheat survey aims to find profitable secrets
A survey of wheat growers in Victoria's Wimmera is under way, to try to determin
e what makes a profitable farmer.
Despite a good harvest this year, growers were hit hard when grain prices plumme
ted by up to $30 a tonne.
Researchers are hoping to find out what factors enabled some farmers to make a p
rofit, while others had to sell their crops below the cost of production.
John Williams, from the University of Melbourne, says the results will be compar
ed with similar data from the United States.
"One of the things that I've found over the last ten years is that growers don't
have a good grasp of their cost of production," he said.
Japanese BSE case compounds US beef fears
The US beef industry fears even longer odds of recovering its Japanese market, a
fter that country's first case of mad cow disease in beef cattle.
US beef producers have always expected to have an uphill battle once Japan resum
ed imports from the US.
But Japan's 23rd confirmed BSE case, and the first in beef cattle, may cause eve
n longer odds in that market.
American Meat Institute spokesman John Reddington points to recent Japanese pres
s reports.
"It's going to be pretty difficult battle for the United States to change consum
ers' minds about the safety of our product.
"Our major competitor, when we get back into that market, is going to be Austral
ia."
Higher sheep prices forecast amid steep demand
The live export industry says it will be forced to offer higher premiums to shee
p producers to meet demand.
While producers have moved away from breeding heavy boat sheep towards the prime
lamb market, the live trade expects increased demand for mutton in Europe.
Gary Tapscott, from the South Australian Livestock Exporters Association, says w
ith more shipments out of the eastern states expected over the next few months,
the trade will be demanding merino wethers coming into winter.
Veg growers urge greater marketing mix
Vegetable producers want to join forces with other rural industries to try to in
crease sales.
Peak grower group Ausveg is looking at cross-commodity marketing, as one of the

ideas included in a new industry strategy.

Chief executive, John Roach, says with increasing global pressures on primary pr
oducers, the time may be right for more co-operation
"There is real leverage to be had with vegetables in particular co-marketing pro
duct with other rural commodities, such as seafood, such as meat, start making w
hole of meal solutions, particularly on an export focus," he said.
Calls to withdraw ministers' control over truck rego
The rail industry wants decisions on truck registration costs to be taken away f
rom transport ministers, after they rejected a plan to increase charges on large
vehicles.
The trucking industry says it could not afford the proposed 37 per cent increase
in rego costs for B-doubles and road trains, and a 10 per cent rise in fuel tax
es for heavy trucks.
But the rail industry says only 2 per cent of trucking operators will benefit.
Brian Nye from the Australasian Railway Association says there still needs to be
fundamental reform of road and rail pricing.
"I'm not arguing that the trucking industry doesn't pay," he said.
"What we're saying is that smaller vehicles are cross-subsidising heavier vehicl
es and it's the heavier vehicles that are doing the damage.
"So, yes the trucking industry can say 'Yes we are paying a fair amount but it's
the way the formula's worked out', and this was trying to redress some of that.
But the Victorian Transport Minister says the increases would have jeopardised r
ural businesses, already battling high transport costs.
Peter Batchelor says there needs to be a uniform approach to truck rego fees, an
d uncertainty over Federal Government funding for freight infrastructure also ne
eds to be resolved.
Doctors warned of racial abuse in wake of Patel scandal
Overseas trained doctors are being warned against practising in rural Australia,
because they could face racist abuse from both patients and colleagues.
The Australian Doctors Trained Overseas Group says fallout has not abated, after
the "Dr Death" case in Queensland.
Martin Stanley, from the Rural and Remote Workforce Agencies Group, says a posit
ive campaign about the work of overseas trained doctors is urgently needed.
"I think there is a lack of understanding," he said.
"I think there's an assumption that some communities make, that there are doctor
s all over the place and it's just a matter of picking one to come to their comm
unity.
"I think we all, collectively, need to keep telling some of the positive stories
about what overseas trained doctors are doing in local communities."
Dr Adel Asaid trained in Egypt, and has practised as a GP in the Victorian town
of Elmore for the past eight years.
But he says while getting to know the locals took some time, stories of racism i
n country areas are exaggerated.
"It wasn't an easy task for me, or even for the town, but the town actually was
great, like the town accepted me and welcomed me so that made my life much easie
r," he said.
Growers count cost of cyclone Larry
Far north Queensland's horticulture industry has been almost wiped out by cyclon
e Larry.
The Category 5 cyclone has caused hundreds of millions of dollars damage to suga
r and banana crops, along with the rest of the farming sector.
Ninety per cent of Australia's bananas come out of the Innisfail and Tully regio
ns; at this stage most of the industry looks to have been lost.
Jan Davis from horticulture's representative group Growcom says the damage looks
worse than anticipated.
"Avocados are in the middle of harvest and probably 70 to 80 per cent of that cr
op's gone. We've got significant damage reports coming in from tropical fruit. V

ery, very serious damage right across the sector," she said.
Sugar cane along the coast from Tully to Cairns also copped the blow of the cycl
one, with most of the Innisfail crop which faced 290 kilometre winds destroyed.
The cyclone will have huge ramifications for jobs and local businesses in the af
fected districts, which heavily rely on the two crops that used to dominate the
landscape: sugar and bananas.
There have been calls for the State Government to help out with compensation.
It says it is still assessing the damages.
Those heavy losses in the far north are expected to drive the price of bananas t
o above $40 a carton, or between $5 and $6 a kilo.
But Tony Heidrich from the Australian Banana Growers Council is concerned about
how growers in far north Queensland will rebuild.
"If growers aren't making any money, they can't afford to keep staff above those
which are essential to getting the farm back into production," he said.
"And the question is as far as key people go, key employees, if you do have to l
et some of those go, whether they come back again."
Remote cattle stations in the Gulf of Carpentaria are apprehensive over what Cyc
lone Larry may bring to the already water-logged region.
Stuart Zlotkowski of Wollogorang Station, says he is relieved to have turned off
cattle months in advance.
In the metric scale, the station has had around 768 millimetres of rain this mon
th, which is by far the wettest March on record and the second wettest of any mo
nth ever in about 28 years of recorded weather statistics.
Growers vote to keep wheat export's single desk
Grain growers in Victoria have formally shown their support for keeping the sing
le desk for wheat exports.
Almost 330 growers voted to retain the single desk, at the annual Victorian Farm
ers Federation Grains Conference.
Grains group president Ian Hastings says it is a strong result.
"We've got a very very clear message that people want single desk and at this po
int in time they are not including how or who the manager will be," Mr Hastings
said.
"They want single desk marketing, which is what we've been saying all along, and
at the end of the Cole inquiry is the time when we will then look at what the s
tructure will be to ensure that we have a single-desk marketing system."
Meanwhile a better outlook for crop prospects in the US has hit domestic grain p
rices.
Chicago wheat futures have dropped more than 3 per cent in the past 10 days, wit
h rain and snow expected to help US crops.
Leonie O'Driscoll from Agfarm marketing says the fall is being felt.
"Already we have seen domestic end users drop their buying values by about $10 a
tonne," she said.
Analysts urge consortium to move quickly on Iraq wheat deal
Grains industry analysts say Australia could lose a deal to supply hundreds of t
onnes of wheat to Iraq, unless it moves quickly to seal the contract.
Media reports from Baghdad say the Iraqi Grains Board is refusing to agree to th
e deal unless it controls shipping arrangements, accusing Australia of over-infl
ating transport costs.
Analyst Lloyd George says dealing with Iraq is not a simple process.
"You know those terms and conditions can vary from customer to customer signific
antly and hence the risks vary with that as well," Mr George said.
"Even in the past day or so it's been talked about in the United States that Ira
q is essentially looking around for another 300,000 tonnes of wheat out of the U
nited States, which suggests they may be starting to look in other directions if
business hasn't been concluded."
Anderson urges states to stand by water initiative
Former deputy prime minister John Anderson says the National Water Initiative is

in danger of stalling and the states need to recommit to it.

Mr Anderson says the deal, to secure water for the environment and property righ
ts for farmers, is months behind schedule and he is worried it is heading off ta
rget.
He has also reject suggestions that it is time for governments to buy water from
farmers for the environment.
"Where they do want to enter the market in my view, they should do it as was agr
eed in the case of the Living Murray, as a last resort only," Mr Anderson said.
"I'm glad you asked the question because I think there's a few governments now a
nd few people around the place thinking 'oh the easy way out of this, it's all t
oo hard to find the savings' and I don't know what's wrong with modern governmen
ts, but they're all so reluctant to get their hands involved with infrastructure
."
Malcolm Turnbull, parliamentary secretary to the Prime Minister, says only half
the necessary water savings have been found for Murray River environmental flows
.
Mr Turnbull says there may be no other option than buying water and he will put
the idea to a Murray Darling Ministerial Council meeting next month.
He is rejecting suggestions that would lead to a big increase in water prices.
"There's this kind of implicit assumption that if governments are going to parti
cipate in water markets they will do so recklessly, overpaying," Mr Turnbull sai
d.
UN outlines farming's threat to water
A new United Nations report says farming is the biggest threat to the world's fr
eshwater supply.
The report has been unveiled at a World Water Forum in Mexico, and recommends an
end to subsidies on pesticides and fertilisers, and realistic water pricing.
But the forum has been told Australian farmers are world leaders, for using mark
et forces to stop water wastage and pollution.
Mike Young from CSIRO Land and Water is at the forum and says Australia is recog
nised as a pioneer in tackling dwindling river flows, increasing contamination a
nd pollution and damage to fisheries.
"I think we are very much at world's best practice in terms of innovations," Mr
Young said.
"All of the discussions I have been involved in, people have been amazed at the
approaches that Australia is taking in introducing tradeable water rights, actua
lly moving very quickly to full cost recovery and often being there.
N Qld cyclone damage hits prawns, avocado producers
Flooding is now causing havoc in Queensland between Cairns and Townsville, in th
e aftermath of cyclone Larry.
Innisfail recorded 289 millimetres of rain in the 24 hours to 9am AEST, with mos
t coastal areas receiving more than 100 millimetres.
The floods have devastated the region's prawn farming industry, which supplies 4
0 per cent of the Australian market.
Scott Walter from the Australian Prawn Farmers Association says there are huge l
osses due to flood damage and loss of power.
"Basically we have power to run our freezers where the stock is kept," Mr Walter
said.
"We've got power that run aerators in our ponds, which keep the oxygen levels up
to a point where the prawns are capable of basically growing and surviving, so
if we lose the ability to oxygenate our ponds we'll lose our crops, and if the f
reezers go down for too long and the seals are broken, the temperatures will dro
p and we'll have to destroy the stock because it'll no longer be safe for food."
Cyclone Larry has also devastated avocado plantations on the Atherton Tablelands
in far north Queensland, with losses estimated at up to $15 million.
Just last week the region supplied 80 per cent of the Australian crop.
New South Wales grower Gordon Birch says New Zealand imports are likely to fill
the shortfall, until other growing regions begin picking fruit.

McCain cuts hit Vic potato farmers

Potato growers in Victoria are facing a 10 per cent supply cut and lower prices
from food processor McCain this year.
Negotiations on this year's contracts started in the middle of last year and the
federal industry and produce ombudsman has been called in to try to resolve the
dispute.
President David Myers says it is unfair, when fuel costs have gone up for produc
ers.
"We want a finalisation of the contracts," he said.
Telstra admits 3G upgrade will not fix all black spots
Telstra has begun upgrading 5,000 mobile phone towers as it prepares to roll out
a new 3G phone network early next year.
But there are growing concerns about whether mobile phone black spots will ever
get network coverage, even with the 3G service.
The technology will allow mobile phone users to access fax, email and high-speed
Internet services.
Telstra's Michael Patterson says mobile coverage will improve with 3G, but conce
des there will be black sports, particularly in more isolated areas.
"Absolutely but at the same time all the major communities above 350 people have
mobile coverage at the moment, and we're gonna be fixing some of the black spot
s on the highways," he said.
"We're also working with both state and federal governments to see what sort of
funding is available to roll out additional base stations."
Tas push to maintain freight subsidy
Tasmanian farmers say they will fight to keep the state's $90 million freight eq
ualisation scheme.
The Federal Government is reviewing the scheme, which subsidises the cost of fre
ight and passengers across Bass Strait.
While Tasmania wants the scheme strengthened, parliamentary secretary for financ
e Richard Colebeck will only say the Government remains committed to freight equ
alisation of some kind,
"It's recognised pretty generally that the method of freighting and even operati
ons on Bass Strait have changed significantly over the last 30 years," Mr Colebe
ck said.
Predicted egg shortage to increase prices
There are predictions of a looming national shortage of eggs, despite an oversup
ply and all-time low prices over the past six months.
Those two factors, coupled with a hot summer, have led to birds being culled in
South Australia, Victoria and New South Wales.
Steven Todd from Southern Eggs says fewer birds means fewer eggs with prices set
to rise by 20 per cent.
He says the bigger players are the ones who will benefit.
BOM to consider marine weather service's viability
The Bureau of Meteorology is review its HF radio marine weather service.
The bureau assumed responsibility for the free 24-hour service four years ago, a
fter Telstra stopped funding it.
It services vessel operators who are a long way off shore without access to sate
llite technology.
The bureau's Vernon Carr says they to find out how relevant the $3 million servi
ce is.
"There are a number of alternatives available that we're looking at," Mr Carr sa
id.
"Again technology is advancing as well and that's where we're looking as well is
to see how far advanced, particularly for mariners in the open ocean, you know
how technology is helping them receive this weather information.

Major supermarkets excluded from new code of conduct

The fruit and vegetable industry is angry at a decision to exclude major superma
rkets from a new mandatory code of conduct.
The code was promised by the Federal Government in 2004 to try to give growers m
ore clout in negotiating contracts with supermarkets.
But it has now decided not to include retailers Coles and Woolworths.
Andrew Young from the wholesaler-backed, Central Markets Association, believes s
upermarkets could end up benefiting at the expense of both growers and wholesale
rs.
"Over 50 per cent of the product will be outside the scope of the code so there'
s really a big question mark over whether it's meaningful at all, particularly g
iven that two prior government reviews into the code issue have both recommended
that if there is to be a code it should apply to the whole retail/grocery indus
try," he said.
Food prices to soar in cyclone's wake
Food prices could be set to soar in areas of far north Queensland devastated by
cyclone Larry.
Trucks which transport fruit and vegetables from the region, usually backload wi
th fresh produce and non-perishables from the state's south.
But with crops destroyed, the cost of carting food into the north is expected to
skyrocket.
Les Blennerhassett from Blenners Transport says without assistance, freight cost
s could increase by 90 per cent.
"If we can't get freight subsidies from the Government our freight rates into no
rth Queensland will double from next week, everything on the shelf's going to go
up," he said.
"Every food item that's on the shelf there now from fruit and veg to ice cream b
ack to your Wheatbix, every item that's on there all travels by road and rail.
"Rail do have a percentage of the freight and might be able to travel a little b
it cheaper going back empty but they have costs also."
Meanwhile sugar millers in north Queensland are assessing damage caused by the c
yclone.
Bundaberg Sugar's Mourilyan, Babinda, South Johnstone and Tableland mills all su
ffered significant damage.
Govt won't allow banana imports
The Federal Government says it will not relax quarantine import restrictions for
bananas following the destruction of Queensland's crop by cyclone Larry.
Agriculture Minister Peter McGauran says the current supply of local bananas is
expected to run out within the next few days.
But he says reducing biosecurity checks to import bananas to meet the shortfall
would hurt Queensland growers.
"We will not compromise the science to meet a short term shortage on the domesti
c market," he said.
"Moreover this would be the worst thing possible for the devastated banana indus
try that bananas came in from overseas on a faulty or hastily decided science."
Banana growers at Carnarvon, in Western Australia, say they will not bow to pres
sure to send fruit to the eastern states to fill the gap.
WA representative on the Australian Banana Growers Council Tom Day says they wil
l continue to supply local markets.
"Whilst we sympathise with the people in the east there are are some bananas in
New South Wales and there are still a few in Queensland," he said.
"We've got our markets in Western Australia, that's always traditionally been ou
r market and we've got some very faithful buyers there and we want to stick with
those people and help the east if we possibly can.
A new report raises doubts over the ability of the National Water Initiative (NW
I) to solve the water crisis and deliver infrastructure reform.
But it says reforming rural and urban water infrastructure could add between $6

billion and $8 billion a year to the economy.

One year since conducting its first review of infrastructure policy, the Busines
s Council of Australia (BCA) says the National Water Initiative is lacking urgen
cy and clear direction.
The BCA found of all areas reviewed like energy and transport, only water policy
did not see significant progress.
Backing comments from former deputy prime minister John Anderson, it says the NW
I is missing targets, like the creation of a national water trading market and f
inding more barriers than solutions.
The BCA's Maria Tarrant says the organisation has given the Council of Australia
n Governments until the end of the year to reinvigorate the National Water Initi
ative and further develop water trading.
Mission Australia highlights city-country divide
Divisions between the wealth and health of city and country dwellers are continu
ing to grow, according to a new report by welfare group Mission Australia.
The report says rural Australians are less likely to finish school, more likely
to die from alcohol abuse or be affected by domestic violence, or suffer mental
illness.
Anne Hampshire from Mission Australia says the concerns will be taken to Canberr
a next week along with a push for new programs.
"The report actually has three components, identify the problems which we have,
identify some of the great initiatives which are happening on the ground so we m
ake sure we can develop those further, but also we've suggested a whole suite of
recommendations," she said.
Probe into low Vic commodity prices
The Federal Government is setting up a taskforce to investigate the impact of lo
w commodity prices in western and north-western Victoria.
Farmers say low grain, wool, grape and citrus prices are crippling the economies
of rural communities.
Agriculture Minister Peter McGauran says the Government will not subsidise farme
rs, but will try to reduce cost burdens.
Hindmarsh mayor Darryl Argall says the taskforce will give rural communities mor
e direct contact with the Federal Goverment.
Dairy companies compete for suppliers
Competition for milk suppliers is intensifying between dairy companies in Victor
ia.
After years of dismal prices, milk company Fonterra is now offering a sweetener
of a 50 cent per kilogram premium to new suppliers.
Doug Chant from the Victorian Farmers Federation is happy with the higher prices
, but he is worried the incentives will not give farmers long-term financial sec
urity.
Woodside signs big gas deal with Japan
Oil and gas producer Woodside has signed its biggest agreement for the supply of
liquefied natural gas.
The company will supply up to 2 million tonnes of LNG a year to Japan from 2011.
Biodiesel plant opens
One of Australia's biggest biodiesel plant is being opened in Adelaide today.
The was opened this morning and will be capable of producing of 45 million litre
s of diesel each year.
Initially this plant will be producing diesel from animal fat but it is hoped it
will soon be coming from oil seeds and the plant will be looking for some 100,0
00 tonnes of oilseed each year.
Bio-gas plant to put cow manure to good use
A feedlot and abattoir in southern New South Wales is planning to generate elect

ricity from cow manure.

Rockdale Beef at Yanco is developing a bio-gas plant, to make better use of 120,
000 tonnes of manure produced at the feedlot every year.
General Manager Paul Troja says the $12 million plant will be one of the first o
f its kind in the country.
"The manure is collected and put into a digestor where the methane is extracted,
the methane is cleaned then put through a gas turbine which generates electrici
ty and hot water," he said.
"The electricity is used in the plant and the hot water in terms of our normal r
equirements in an abattoir operation.
NT flower growers meet Games shortfall after cyclone
Cut-flower growers in the Northern Territory have had to come to the rescue of C
ommonwealth Games organisers, in the wake of Cyclone Larry.
The red and orange tropical heliconias are a centrepiece of the bouquets present
ed to medal winners, and had been provided from both north Queensland and the Te
rritory.
Darwin growers like Jan Hintze have had to come up with more than 10,000 blooms
after the Games order doubled overnight.
"I had to find another 1,000 flowers, from Monday lunchtime to Tuesday lunchtime
, which is actually quite difficult," she said.
"But however, we all got together and sure enough I did manage to get them all t
ogether and they went off on Tuesday night and they will be the bouquets today a
nd tomorrow.
Iraq wheat sale still on track: consortium
The grain consortium Wheat Australia is hosing down speculation its deal to sell
wheat to Iraq is in trouble.
Spokesman Rhys Ainsworth says the consortium this week made its tender submissio
n to the Iraqi Grains Board, and has already started talks with the board.
While he would not be drawn on the content of discussions, Mr Ainsworth played d
own the time the deal is taking.
"Well it's very hard to talk about what's normal and what's abnormal," he said.
"I suppose, what I can confirm is that the initial offer has been made and discu
ssions are continuing.
"So that's the certainly the context that Wheat Australia is proceeding with at
the moment.
Moody's review pushes up AWB shares
Shares in wheat exporter AWB have surged more than 20 cents after a positive rev
iew from ratings agency Moody's.
The share price has hovered at all-time lows in recent weeks but Moody's assessm
ent of subsidiary company AWB Harvest Finance has improved confidence in AWB's a
bility to handle risk.
Senior financial analyst at CommSec Grant Saligari says while it is an important
review, it is expected the share price will continue to fluctuate.
"I think this is more a reaffirmation of short-term prospects at this stage," he
said.
"I think you're going to see quite a bit of volatility until the outcome of the
Cole inquiry is known and the Government's response to that is known."
Shares opened trading this morning at $3.97.
Meanwhile 220 grain growers have voiced their support for the single desk for wh
eat exports at a meeting in WA's mid-west.
Just six farmers at the gathering in Morowa wanted the single desk deregulated.
Many believe their support is not being recognised in the eastern states but Dav
id Hayes of Badgingarra says WA growers want the single desk left alone.
"I think there's a clear demonstration that Western Australian farmers are 100 p
er cent behind single desk," he said.
They have done the wrong thing and I think that there's going to have to be some
heads roll in the AWB but at the end of the day, the rank and file of the peopl

e that work for the AWB are great people and they've got our best interests at h
eart."
SA barley growers vote to keep single desk marketing system
Grain growers in South Australia have voted to keep the single desk marketing sy
stem for barley.
A total of 5,900 barley growers were sent out the South Australian Farmers Feder
ation's barley ballot, asking growers whether they wanted to retain the single d
esk or complete deregulation.
Only 2,000 responded.
This comes after months of debate over poor barley prices which has led to some
growers demanding competition for the state's barley market.
Fourteen hundred growers voted yes to the single desk, while 300 voted to remove
it but one change has resulted, with 1000 growers wanting an independent single
desk, with a similar structure to the Wheat Export Authority.
Falling Aust dollar good news for farmers
In some good news for farmers, the falling Australian dollar is adding hundreds
of millions of dollars to export returns.
Chief economist at Deutsche Bank Tony Meer says the dollar is at its lowest leve
l in 18 months, trading at 71.5 US cents.
He says the drop is boosting returns in the resources sector and there are also
benefits for farm commodities.
"Definitely anyone who gets to export, I am thinking resource companies but also
the farm sector and the good news for the farm sector is that those broad acre
croppers, those people who produce things like wheat and barley, at least they h
ave got something to sell on those global markets this time around because of th
e breaking of the drought," he said.
Wool market falls off
A 3 per cent fall in the US exchange this week should have led to higher wool pr
ices in Australia.
Instead the market has fallen off, due to poor, older wool being reoffered at sa
les this week.
The biggest fall was in Fremantle, where there was a 15 cent drop-off.
The eastern market indicator fell seven cents to 744 cents a kilo clean.
US lawmakers urged to oppose food aid commodities plan
US farm groups are angry at a plan by the Bush administration to spend almost a
quarter of its main food aid program on Australian and European commodities.
Wheat, soy, rice and other minor crops are involved.
The groups have written to US lawmakers urging them to oppose the Bush administr
ation's plan to buy food aid commodities from Australia and others, closer to ne
edy areas like South-East Asia.
US Wheat Associates' Dawn Forsythe says the proposal amounts to as much as $305
million.
"Twenty-five per cent of the budget would be purchased elsewhere. Now, we have a
problem with that ... with US taxpayer money going to buy competitors' products
," she said.
NZ growers question Australian fire blight detection skills
New Zealand apple growers have questioned the ability of Australian quarantine w
orkers to inspect their orchards for the plant disease fire blight.
Inspections would be carried out as part of new regulations to allow New Zealand
apple imports into Australia.
Submissions on the draft regulations close next week.
But Pipfruit New Zealand's Peter Beaven says Australia does not have the skills
to detect fire blight.
"The draft contemplates AQIS inspectors coming out to New Zealand and doing work
that I don't think they are qualified to do, quite frankly, because you know th

ey are going to be looking around orchards, looking for canker and so forth and
they've got no experience in doing that," he said.
Live export campaign to improve welfare
Meat and Livestock Australia will fund a million dollar campaign to raise awaren
ess of its efforts to improve animal welfare, particularly in the live export tr
ade.
The campaign will begin in WA in a few weeks before being launched nationally, t
argetting consumers, metropolitan media and schools.
Tim D'arcy from the Pastoralists and Graziers Association says he hopes it will
make the live export industry more transparent as well.
"You know, there are people out there who still don't do the right thing, and we
're aware of that," he said.
"And we're trying to, through this process, trying to encourage everybody, to en
sure their animal welfare management is of the highest order.
Dairy farmers needed for Tasmania
Tasmania's dairy industry has launched a recruitment drive to attract more farme
rs.
The campaign has the theme "a great place to live, a great place to dairy", and
promotes not only the sound economics of dairy farming, but the lifestyle qualit
ies of living in Tasmania.
Dairy consultant Basil Doonan says while there has been a big influx of New Zeal
and farmers in the past decade, this campaign targets Europeans.
"We don't mind where the investment comes from, we just need foreign investment,
we need an injection of capital at the farm level in the Tasmanian industry," h
e said.
Dairy industry rallies behind FNQ producers
The Queensland Dairyfarmers Organisation (QDO) has set up its own cyclone relief
fund to provide help to farmers affected by cyclone Larry.
The cyclone damaged infrastructure, and power is still out in many dairies five
days after it hit.
Without power farmers cannot milk and cows face the possibility of mastitis and
going dry.
There has been a major effort to fly in mobile milking machines, source generato
rs and even fly in a tanker so milk that can't be chilled can be picked up every
day, otherwise it has to be poured down the drain.
QDO president Wes Judd says farmers across the country have offered their help a
nd any donations will be most welcome.
Cave on standby as waters rise in Kimberley
Residents of stations and communities in the east Kimberley are on stand-by to e
vacuate as rain continues to bucket down in WA's far north.
Kununurra has had double its average March rainfall, with 200 millimetres over t
he past two days.
Yesterday a helicopter arrived at nearby Ellenbrae Station to collect the Stanle
y family, although farmer Norm Stanley decided to stay on.
"I can't see anyone coming to too much grief," he said.
"We've got a big hill about a kilometre over from the homestead and I'll shoot a
cross there if it gets too bad.
Top End crabbers facing tough times
Commercial crabbers in the Northern Territory say the industry will be forced to
downsize under major new restrictions.
Thirty per cent fewer crabs will be able to be caught under amendments to the Te
rritory mudcrab plan and there will be tougher penalties for breaching catch lim
its.
Chris Calogerous of Sea King Seafoods is disappointed there is no provision to b
uy out any of the 49 commercial licence holders.

"Most of us feel like we've been kicked in the guts. Our advice has been ignored
and I can see how this is effectively going to put this industry under extreme
pressure," he said.
"We support all the rules relating to tougher penalties but this size limit incr
ease of 10 mm basically means that we're going to not be able to harvest crabs i
n the Gulf because a large proportion of the crabs there are always a smaller cr
ab.
Farmers sign up to save rare cocky
Farmers are signing up in droves for a project which offers them cash for preser
ving the habitat of the Commonwealth Games mascot.
The Federal Government will spend more than $1 million to try to save the last 1
,000 red tailed black cockatoos, found in Victoria and South Australia.
Cockies have been seen on the farm of Richard Hobbs at Clear Lake, who says prot
ecting trees serves a dual purpose.
"We do value the trees, we think that we can crop and have trees," he said.
"We think it increases production - protection for the livestock and probably fo
r crops too.
Rural jobs last resort for migrants: agent
There are claims today the growing social divide between city and country is mak
ing it hard to recommend rural areas to migrants.
Attracting migrants to regional areas has been touted as a solution to the skill
s shortage but migration agent Michael Walker says jobs in rural areas are often
the last resort for his clients.
Mr Walker from Absolute Immigration Services says there is often a lack of oppor
tunities, infrastructure and support in country areas.
"The infrastructure in many regional areas is not sufficient enough to sustain a
n influx of migration," he said.
"We already know that many young people who have grown up in regional areas are
coming into the cities seeking employment.
Fears compo payments may restrict farmers' borrowing
Farmers who receive government-funded compensation payments are being warned the
y could have less leverage to borrow money from banks.
The issue has been highlighted in New South Wales, where compensation paid to gr
ound water irrigators will be taxed as income.
Bruce Brown from Namoi Catchment Management says under the tax ruling, farmers w
ho receive compensation for the loss of any property will see their asset base r
educed.
"Banks would be seeing a loss of their loan security ratios which would obviousl
y impact on the amounts of money they are prepared to lend because they will do
their credit risk ratings etc on that," he said.
Research focuses on merino meat breeding
The merino industry is taking a stand against competition from meat sheep breeds
.
While there has been plenty of study into merino wool, less is known about the s
heep itself.
A five year project has been researching fertility, worm resistance, muscle and
fat depth in more than 10,000 stud sheep.
South Australian breeder Robin Schwartz says the industry's future lies in being
able to compete by offering good wool and meat characteristics.
"While wool prices are up and down, and more down than up at the moment, everyon
e is keen to kick some goals with the meat breeding side of the operations," he
said.
Emerging market may help grape growers
An emerging grape seed oil market could help deal with the nation's oversupply o
f wine grapes

The seeds come from a by-product of wine production and the oil is used for eati
ng and cooking, as well as pharmaceuticals and cosmetics.
Rocco Rombola has established a grape seed oil extraction plant at Loxton in Sou
th Australia's Riverland and says while it is a relatively new product in Austra
lia, it has been used in Europe for years.
AWB accused of reneging on wheat commitment
Grain traders are accusing AWB of reneging on a public commitment to relax the c
ompany's power of veto over wheat exports.
They say applications for hundreds of thousands of tonnes of wheat, including on
e from the consortium Wheat Australia, are held up at the Wheat Export Authority
(WEA).
It is nearly a month since Trade Minister Mark Vaile told grain growers that AWB
would relax its veto power to allow other companies to export to Iraq.
But applications to export more than half a million tonnes of wheat have been be
fore the WEA for weeks, including a Wheat Australia bid to sell 350,000 tonnes t
o Iraq.
Under current legislation, AWB must give written authority to the WEA before any
export applications can be processed.
"The authority must not give a bulk export consent without the prior approval in
writing of AWB. I guess they're still waiting for that," Alick Osborne from the
Grain Exporters Association said.
Agriculture Minister Peter McGauran is confident AWB will stand by its word.
"AWB has committed to the Government and to wheat growers to waive its veto powe
r, they will honour that commitment," he said.
Regional workers first to feel impact of IR changes: unions
Unions say regional Australia will be the first to feel the effects of the Feder
al Government's new industrial relations laws.
The changes come into force today, meaning employers have more power when negoti
ating contracts with workers.
Dr Chris Briggs from the Workplace Research Centre at Sydney University believes
regional workers will see major changes.
"These types of laws were trialled in Victoria in the mid-90s under the Kennett
government and what it found is that ... things didn't change all that much in t
he middle of the capital cities but where they changed were in regional areas wh
ere you had three times as many low paid jobs, particularly in jobs like retail,
construction and hospitality, so it is likely that regional areas will feel the
effects of this," he said.
But farmers and other regional businesses say the changes will lead to more jobs
in regional Australia and greater flexibility for workers and employers.
Only farms that are incorporated or in Victoria will be able to negotiate under
the new laws but the National Farmers Federation (NFF) says it will be encouragi
ng farmers to incorporate so they can access the changes.
The NFF's Denita Wawn says over time the new laws will lead to better relations
between employers and employees.
Farmers expecting conditions to worsen
Confidence in rural Australia remains weak, with more farmers expecting conditio
ns to worsen over the next 12 months.
The latest quarterly rural confidence survey from Rabobank has found only a quar
ter of primary producers expect the agricultural economy to improve.
Rabobank's Neil Dobbin says farmers are particularly cautious in the lead-up to
the winter cropping system, with many farmers in the eastern states waiting for
rain.
"Across Australia the confidence was weaker. It's mainly what they're thinking a
bout in the future, what they see commodity prices and input costs," he said.
Beef producer set for wagyu cattle production
Australia's biggest beef producer is set to take over the world's largest breede

r of wagyu cattle.
Wagyu beef is renowned for its marbling and is highly prized in the Japanese mar
ket.
The Australian Agricultural Company has bought a bull herd belonging to Ballarat
-based Westholme Wagyu, regard as the world's best outside Japan.
Managing director Don Mackay says the company hopes to buy Westholme's cows and
calves, embryos and semen later this year.
"You produce a higher quality beef, you produce beef products that are worth con
siderably more value," he said.
"Clearly you've got a higher cost of production and the animals that we feed in
our feedlot today are generally on feed for about a year but those animals are w
orth a lot of money.
"As long as you get the right performance from the right genetics.
Tasmanian wine grapes in short supply
While the mainland deals with a massive oversupply of wine grapes, Tasmania does
not have enough for this year's vintage,
The island state is short around 500 tonnes of grapes, mainly those used to make
sparkling wines.
The shortage means growers are receiving a good price for premium fruit and wine
maker Andrew Pirie says there are no plans to import more fruit.
"If you examine why Tasmania is now, let's say isolated and good position it's b
ecause we've stuck with a strong Tasmanian regional branding," he said.
"For 20 years now we've focused on 100 per cent Tasmanian content and that now s
ets us apart from the south-east Australian blend which is becoming the wine tha
t's in oversupply, so regionality has been our saviour."
Meanwhile a new national task force will work to find niche global markets for A
ustralian wine.
The 13 member "new directions" group will also try to build stronger ties betwee
n producers and retailers, exporters and governments.
It is part of a bid to reduce the wine surplus.
And in another development, one company is introducing tetra paks for wine, the
same as those used for long-life milk and fruit juice.
Already used in Canada, a business in Victoria's Sunraysia district will become
the first company in the southern hemisphere to install the technology.
Ken Henderson from Best Bottlers says the taste of the wine will not change.
"It's virtually unbreakable, it can go into places where glass is not normally a
llowed in such as sporting venues, beaches," he said.
Flooding hits northern WA town
A tropical low hovering over the east Kimberley has continued to dump huge falls
of rain over the region.
Wyndham received 560 millimetres over the weekend, causing major flooding and fo
rcing road closures.
Graeme Down from the Fire and Emergency Services Authority of Western Australia
says flooding in the lower Ord River is reportedly the biggest ever seen.
"The local manager for SES here advised me that he pulled his pump up to one and
a half metres above what he thought was the highest he had ever seen and his pu
mp went under again," Mr Down said.
"So I think there's been a huge volume of water that the Water Corp was telling
us, before the waters had really come down out of the diversion dam that they we
re letting 580 cubic metres per second."
Rain sets back fight against noxious weed
While pastoralists in Western Australia's Pilbara region are rapt with the wet s
tart to the year, record rainfall has resulted in a growing problem with noxious
weeds.
Mesquite is a weed with spiny thorns and covers 150,000 hectares of grazing land
west of Karratha.
Linda Anderson from the Pilbara Mesquite Management Committee says the rain has

put the fight against the weed back a number of years.

"It's now going to germinate a lot of the seed bank that we think that was there
that we haven't seen germinate in probably the last six or seven years when we
haven't had rain," she said.
Spiralling whitefly found in Darwin backyard
Efforts have begun to control a new pest species found in the Northern Territory
.
Spiralling whitefly was previously restricted to Queensland but has now been dis
covered in a Darwin backyard.
The pest can reduce production in plants like the mango, papaya and guava but St
uart Smith from the Department of Primary Industries says it can be controlled u
sing a natural parasite.
"This is actually an extremely effective parasite," he said.
"It is classical biocontrol in that the parasite really knocks the pest down by
80 to 90 or 95 per cent but there is just enough to survive to maintain the para
site as well as the pest populations.
"But almost always in very low populations and not enough to be damaging."
Farmers set to show off produce
Preparations are well under way for this year's Sydney Royal Easter Show.
And farmers on the state's far south cost are getting ready to show off their pr
oduce, including Noel Watson, from Bega.
He is picking giant pumpkins and says it takes more manpower than you might thin
k.
"More than we got here. I'll be bringing the tractor down here directly to pick
it up, I think that one up there is probably the biggest I have grown, it could
be pulling 200 kilos," he said.
Chinese uranium deal could prompt new mining boom
Australia could be set for a new mining boom with China set to sign an agreement
to explore for uranium.
China is also a step closer to buying more uranium from Australia, to feed its n
ew breed of nuclear power plants.
Mining analyst Warren Edney, from ABN Amro, expects Chinese companies to seek jo
int ventures rather than stake their own claims.
"They will be able to contract sales to the Chinese nuclear power generators and
potentially we may even see BHP's Olympic Dam selling to the Chinese," Mr Edney
said.
"I don't think that we will see massive exports because there is not necessarily
a lot of free uranium which is why the price has gone up for yellow cake.
Woodside to spend billion on Vincent oil field
Australia's largest oil company will spend a billion dollars developing the Vinc
ent oil field, off the coast of Exmouth, in north-western Western Australia.
Vincent will produce about a fifth of Woodside Petroleum's annual oil production
by the end of 2008.
Hartley's analyst Rob Brierley says Woodside has locked in oil production from V
incent for higher than the current price of crude oil.
"It's a decent oil field," he said.
"They've managed to hedge about 30 per cent of their production. Where they've g
ot oil price locked in between $55 a barrel and $75 a barrel that's pretty healt
hy margin stuff."
Record floods hit gulf country
Graziers in Queensland's gulf country are still trying to assess damage caused b
y record floods.
Heavy rain from ex-tropical cyclone Larry has caused both the Leichhardt and Ale
xandra Rivers to burst their banks, covering up to 40 kilometres.
There have also been reports of sharks spotted near a homestead, 80 kilometres i

nland from the Gulf of Carpentaria.

Further south, Michael Crisp from Lorraine Station, says more than 250 millimetr
es of rain has flooded areas he never believed would go under.
"Part of our farm, our irrigated farm has been really heavily damaged," he said.
"There was up to 900 acres of corn sown and 60 or 70 acres of sorghum that had a
bout three or four foot of water go over it and appears to be buggered altogethe
r."
But in sharp contrast, cattle are perishing in Queensland's far south-west, beca
use it has been so dry.
SA dams fill for first time in decade
There has been good rain across South Australia over the past few days, boosting
soil moisture levels.
One farmer says his dams have filled for the first time in a decade, with more t
han a hundred millimetres of rain falling.
Julian Baillie near Tumby Bay on the Eyre Peninsula says it has come as a surpri
se.
"I sort of did a lap around earlier in the day and a lot of them which haven't h
ad any water in them for the best part of 10 years or even more some of them," M
r Baillie said.
Blair attacks EU trade policies
British Prime Minister Tony Blair has used an address to the Australian Parliame
nt to attack the European Union's protectionist trade policies on farm goods.
Mr Blair says despite some gains in trade reform, a tide of protectionist sentim
ent is still flowing around the world.
The PM has also singled out the closed trade policies of the United States and J
apan, saying the future of all trade negotiations hinges on the current Doha rou
nd of talks.
"If we can't put a decent trade round in place, when it is so plain that our lon
g-term national interest and the wider interest of the world demand it, this wil
l be a failure with multiple consequences, all of them adverse," Mr Blair said.
AWB pool returns up
To the grains market and wheat exporter AWB has lifted its expected pool returns
for the 2006-07 season by $5 a tonne.
It is also expecting an increase in returns for 2004-05 because of a lower Aussi
e dollar.
The National Party wants to set targets for ending the flow of urban waste water
into the ocean and increasing the use of recycled water in both cities and rura
l areas.
The Nationals research arm, the Page Research Centre, will conduct a study into
recycled water to see if reused water could help attract and keep industries to
regional centres.
Chair of the study, Queensland Nationals president, Bruce Scott says there needs
to be greater debate on community attitudes to recycled water.
"What I do know is that there are so many communities that are on water restrict
ions almost year round now and there are communities in regional areas that are
unable to attract new industries to those towns because they don't have any wate
r to offer those industries," Mr Scott said.
Mixed response to wool contract system
A new contract selling system for superfine wool has had a mixed response from p
roducers at the first of a series of nationwide meetings.
Under the plan, specific fibres would be supplied to customers through direct ma
rketing, rather than the auction system.
Frank O'Connor, from the Australian Super Fine Wool Growers Association, says he
is not confident the plan will get the support or the half million dollars it n
eeds to get off the ground.
"Not at all, but I think that's the challenge ahead of us," Mr O'Connor said.

Electronic nose could solve sheep industry woes

A small grey box could be the key to reducing fly strike, one of the sheep indus
try's biggest health problems.
The electronic nose is being trialed by the Sheep Cooperative Research Centre at
Armidale, in New South Wales.
It detects the stench of blowfly maggots in sheep near a watering point and send
s a signal back to the farm's computer.
Dr Ian Colditz says, if successful, the e-nose could help the industry save more
than $160 million a year.
"The device works by having some electronic sensors that are picking up chemical
s that are part of an odour and that creates an electrical signal that can be pi
cked up by a computer and could be relayed to the farm office," Dr Colditz said.
Milk prices increase angers WA farmers
Western Australian dairy farmers are angry at milk price increases announced by
dairy company Fonterra, because they say they are not enough.
Fonterra owns the state's biggest milk processor, Peter and Brownes (PB).
Farmers say the increase of 1.6 cents per litre, as well as an extra two cents a
litre for production is too little, too late.
Northcliffe farmer Alan Walker says farmers should demand a fairer price.
"I would like PB suppliers to all to send a letter there, just to say how they'v
e been treated," he said.
"The way to look at it is if only five people send a letter over there, then we
may as well get back to work because nobody's worried.
"But if 105 people send a letter over there, I think the Fonterra board would ha
ve to look at that quite seriously and come back and renegotiate this situation.
"
Cow excema outbreak poses threat
There has been an outbreak of potentially deadly facial excema in several cow he
rds in eastern Victoria.
Sunburn on teats is the first sign of the disease, which is caused by fungal tox
ins in damp pastures.
Gippsland vet Jack Winterbottom says if left untreated there could be a major ou
tbreak.
"We'd have dead cows, at the very least you'd have cows that would be very hard
to manage in terms of being irritable perhaps not wanting to be milked, be very
reluctant to have units put on teats," he said.
Pork given a health lift
Researchers in the United States have found a new way for humans to take omega 3
oils, by eating pork or bacon.
While vitamin-enriched plant-based foods have been around for years, the researc
hers have now bred pigs, which produce the fatty acids normally only found in fi
sh.
Professor Randall Prather from the University of Missouri says he is confident t
he technology will not have the same problems as cloning procedures previously u
sed in sheep.
"Well we used the cloning procedures so the procedures are the same, and yes som
etimes you do get some animals that aren't perfectly normal," he said.
"What you saw with the sheep in the UK was the first generation, and when they h
ad offspring the offspring were normal.
Sniffer dogs to hunt cane toads
Sniffer dogs trained to smell out cane toads will soon be introduced in north-we
st Australia.
Tenders have been called by Western Australia's Department of Conservation and L
and Management for canine training.
The department is looking for a hardy dog to withstand the tropical conditions a

nd regional manager Gae

on.
"Obviously it has to be
oads we want to make it
sniffing luggage and so

Mckay says it will be trialed in the scrub this dry seas

a dog that's trainable and in particular with the cane t
a field ready dog, so it's not just a matter of sitting
forth," she said.

Vaile confident of Iraq wheat deal

Trade Minister Mark Vaile says an important deal to sell wheat to Iraq could be
completed as early as this week.
The Iraqi Grains Board told reporters overnight it had signed a contract to buy
500,000 tonnes of wheat at $US190 a tonne or around $US130 million in total.
But the consortium dealing with Iraq, Wheat Australia is not confirming details
of the deal or that the Iraqi Grains Board has signed a contract.
Mr Vaile says conditions are still to be sorted through, but he believes the rep
orted figures are close to the mark.
"I understand it is getting close, the negotiations are getting close to conclus
ion but there are still a number of issues left to be resolved," Mr Vaile said,
"I'm also aware that what is being negotiated is a contract for around 500,000 t
onnes of Australian wheat but not being involved at the centre of negotiations I
can't confirm yet that that has been concluded."
Grains market analyst Lloyd George says if the Iraq contract goes ahead, it will
be a big increase on the tonnage originally proposed.
But he says the price reportedly agreed to by Iraq, casts some doubt over the de
al.
WA prepares for cyclone Glenda
Western Australia's Pilbara region is bracing for severe winds and heavy rainfal
l as cyclone Glenda tracks down the coast.
The cyclone has been upgraded to category five and is north of Port Hedland, wit
h warnings of wind gusts up to 200 kilometres an hour.
Weather forecaster Gavin Edmonds says by late tomorrow or Friday morning cyclone
Glenda will be very close to the Pilbara coast.
"It is a very large system, one of the strongest cyclones we have seen off our A
ustralian coast line," Mr Edmonds said.
"The estimated wind gust in near the centre are up to 300 kilometres an hour, ex
actly the same as Larry was prior to it approaching the coast line.
Gulf graziers appeal for assistance as floodwaters rise
Graziers in Queensland's north-western Gulf country want more state help for
ilies affected by the worst flooding in 100 years.
Authorities fear the damage bill will run to millions of dollars after heavy
nfall in the wake of cylone Larry.
Bill Olive from Cliffdale Station says he had nearly 70 millimetres of water
w through his house and expects significant stock losses.
"I do hope that they do something to help a lot of people, especially people
are working in the area and a lot of the graziers," Mr Olive said.

fam
rai
flo
who

CSIRO works with grain farmers on harvest predictions

The CSIRO hopes new research will give graingrowers an idea of what the season w
ill be like six months in advance.
At the moment the Bureau of Meteorology can only give a three month outlook.
Peter McIntosh, from Marine and Atmospheric Research in Hobart, says they are a
step closer to helping farmers make more accurate decisions in the lead up to ha
rvest.
"What we'd really like to be able to do is to tell the farmer whether the climat
e conditions in the coming six months would be really good for growing or not,"
Mr McIntosh said.
DPI finds exotic tomato virus in SE Qld
Queensland officials have confirmed an outbreak of an exotic virus in tomato cro

ps near Brisbane.
Yellow leaf curl virus has never before been found in Australia and has the pote
ntial to significantly cut production.
Chris Adriaansen, from the Department of Primary Industries, says up to 40 small
farms could be affected, but says seedling nurseries that supply growers in oth
er parts of the state are so far clear.
"Yellow leaf curl is quite a serious virus of tomatoes," Mr Adriaansen said.
"In other parts of the world where it has attacked before it's been responsible
for very significant losses in some cases up to 100 per cent.
Resource industry struggles to find workers
Mining and resource companies are starting to face staff shortages as the jobs b
oom in rural Australia continues.
A new report says the demand for good staff is making it hard to find and retain
skilled workers, and it's going to get worse.
Andrew Staite from Hudson Employment says the falling dollar and growth in China
will continue to cause problems.
"It is good news but is also starting to now present lots of organisations with
difficulties because the difficulty in attracting skilled workers, into certainl
y Western Australia and Queensland, is getting greater every day.
Mining boom apparent at NT conference
The boom in the resources sector has been reflected in a record turn-out at this
year's Northern Territory mining conference.
About 200 executives from around Australia have been learning more about potenti
al mineral and metal discoveries in the Territory.
And most agree that companies are stepping up exploration as they look to cash i
n on strong commodity prices.
"I'm Peter Robinson I'm a consultant I'm up here for URANEX, Uranium Exploration
Group, people are starting to focus here a lot and the more they focus the more
they find and the more they find the more they focus."
"John Thevissen from Mincor Resources, because we're based in Western Australia
this is our first time in the Northern Territory, we've applied for ground in th
e Northern Territory to look for base metals copper, lead, zinc and silver."
Push for licence review after trawling company goes under
Darwin's prawn trawling fleet has been cut almost in half with the demise of a m
ajor company.
Austfish has been placed in receivership with higher operating costs, cheaper im
ports and season limits believed to be responsible.
It is expected most of the company's 12 boats will be withdrawn from the fleet a
long with those of a smaller operator, who has voluntarily entered administratio
n.
David Carter of Newfishing Australia is calling on the Commonwealth Government t
o urgently buy back licences.
"We expect in the next couple of weeks, the Department of Agriculture, Fisheries
and Forestry will invite all operators in the northern prawn fishery to tender
their right, that will be in the form of a buy back," Mr Carter said.
Residue concerns open up Japanese hay market
Concern over residues found in hay exported from the United States to Japan is o
pening up new markets for Australian farmers.
The hay exporting company Johnson Asahi wants more farmers to grow oaten hay for
the Japanese market, to capitalise on Australia's clean, green image.
Spokesman Anthony Chapman says it is not yet clear what the residues found in th
e US hay were.
Flooded market makes life tough for citrus growers
Citrus growers say their outlook is going from bad to worse.
Growers says a large crop, a flood of cheap imported juice concentrate and shrin

king export markets are preventing many from selling their fruit.
The summer crop is being dumped in southern New South Wales, with growers angry
at an offer of $80 a tonne for their fruit.
Frank Battistel from Riverina Citrus says he is not confident about the future.
"I know quite a few properties that have turned off water to their trees, they j
ust can't continue to lose profit every year like that and they need to make a d
ecision to either keep going and lose money or just get out of the industry."
But citrus growers in the west believe China could be their salvation.
It has taken more than five years for the Chinese to approve Australian fruit im
ports, which will largely come from the eastern states.
WA orchardist Mark Scott says that will mean less fruit sent west.
"We compete against imports from those states here in WA every day and so that t
he taking fruit out from their markets will mean less competition here in WA," M
r Scott said.
European winter hits global poppy industry
The global poppy crop has shrunk, with the estimated surplus also half the size
of this time last year.
An exceptionally cold European winter and smaller plantings have caused the drop
.
Lindley Chopping, from the Tasmanian Poppy Growers Association, says the worldwi
de glut had previously equalled two and a half year's supply of opiates.
"It's down to about one and half years supply," she said.
Tough times for SA potato farmers
South Australian potato growers are facing a poor harvest, with below average yi
elds and low prices.
Growers say there's been an oversupply of potatoes for the past three season, an
d there's no relief in sight.
Greg Rodert who grows potatoes for the fresh market in Bordertown, says the belo
w cost of production prices have forced many growers to cut back on the amount t
hey produce.
'We're down in our plantings generally through lack of finance I suppose you mig
ht say," Mr Rodert said.
Jail threat for farmers employing illegal workers
Farmers and business operators who knowingly or recklessly employ illegal worker
s could go to jail under new laws announced by the Federal Government.
Immigration Minister Amanda Vanstone says there are around 46,000 overstayers in
Australia, many working illegally to support their stay.
But Senator Vanstone says only employers and labour suppliers who deliberately a
ssist or exploit illegal workers need to fear the laws.
Farmers have been the target of Immigration Department raids, especially fruit a
nd vegetable growers who often struggle to find enough seasonal labour to pick c
rops.
The National Farmers Federation (NFF) says very few growers deliberately employ
illegal workers.
And the NFF's Denita Wawn says there is protection in the laws for farmers who u
nwittingly employ illegals.
Fuel prices set to rise
Fuel prices are set to hit last year's record highs.
The price of both petrol and diesel is up in many parts of the country, blamed o
n the rising price of crude oil and the falling value of the dollar.
But Geoff Trotter from Fuel Track says traditionally fuel prices are at their hi
ghest at Easter and it is not good news this year.
Glenda heads toward Pilbara coast
Western Australian mining communities are on red alert as tropical cyclone Glend
a approaches the Pilbara coast.

The industry has come to a standstill as it prepares for gale force winds and po
ssible flooding from the category 4 cyclone.
Iron ore boats which were loading in the Dampier Port have been sent out to sea
to try to avoid the path of the cyclone.
Harbour master Vic Justice says inside the port all the berths are empty and equ
ipment has been tied down.
"The vessels at the various terminals as they completed loading they sailed to p
ut out to sea and get sufficient sea room to ride out the cyclone," he said.
Cyclone recovery expected to take months
In far north Queensland and the Gulf country, communities are still trying to co
me to terms with the impact of cyclone Larry.
The community has donated $10 million to help but the recovery will take months,
if not years.
Cyclone Larry is said to have cost 4,000 jobs, many of them on farms and there i
s a concern young people will exodus the region in search of work.
AgForce has expressed concerns that flood affected graziers may not be able to a
ccess assistance if it is means-tested because of the increase in property valua
tions.
The Bundaberg Sugar Company will not open its Mourilyan mill south of Innisfail
for this year's cane crush, saying Larry has drastically reduced the harvest for
ecasts.
Cane will be diverted to other mills and farmers calling for assistance to remov
e trees and debris from the orchard have been told by cyclone recovery task forc
e coordinator General Peter Cosgrove that the Army will help if they put up a st
rong enough case.
"I would like those people who are suffering those frustrations and wonder if th
ey can get urgent assistance to refer it to the incident management centre in In
nisfail," he said.
Meanwhile cyclone Larry is being blamed for a temporary shortage of fish in Vict
orian markets.
Peter Clarke from the Lakes Entrance Fishermen's Co-op says there has been rough
weather since the cyclone hit Queensland last week.
Mr Clarke says with winds of more than 30 knots, smaller trawlers are staying in
port more days a week than usual.
More professionals choosing part-time work in regional areas
New figures show balancing work and family is beginning to bite in rural profess
ions already short of staff.
Research by the Australian Rural and Remote Workforce Agencies shows doctors, ve
ts and teachers are increasingly choosing to work part-time.
Almost 40 per cent of country GPs work half a full-time shift.
But spokeswoman Martina Stanley says it can be a positive in attracting professi
onals to country areas.
"We're trying to achieve a system whereby we can support them so that they don't
have to work the way that doctors did once upon a time," she said.
"The impact is felt more significantly in rural areas because traditionally rura
l doctors have worked longer hours on average than metropolitan doctors.
The Nationals want more safeguards to protect the diversity of regional news ser
vices before they will support media ownership changes.
The Federal Government wants to let media owners operate across radio, televisio
n and print, leading to fears of consolidation in rural areas.
But Nationals leader Mark Vaile says businesses must be protected from increased
advertising costs, while community groups must have access to locally-based new
srooms.
McCain, potato growers settle price row
After nine months, Victorian potato growers have finally reached a price agreeme
nt with food processor McCain.
The company had been offering lower prices, which farmers said would make the in

dustry unviable.
The McCain Growers Group says neither farmers nor the company are happy with the
deal because there was compromise on both sides.
Chief executive Tony Pitt says growers have accepted $2.75 a tonne less than las
t year's price.
"There is a price now that will operate now for 2006 deliveries and also for 200
7 and that price will be $227.25," he said.
Potato growers to maintain crop production
Tasmanian potato growers have welcomed new crop contracts from the processor, Si
mplot and now expect to maintain crop production at recent levels.
Last year Simplot told growers there would be price and volume cuts when McDonal
d's awarded a major french fry contract to New Zealand growers.
But Dennis Leonard from the Tasmanian Farmers and Graziers Association says the
situation has improved.
"Simplot got on their front foot and went out and chased down some new markets,
which has been of benefit to a lot of growers in the State," he said.
Highway upgrade to improve flood prone section
The Federal Government has announced plans to improve road train access between
central Australia and Queensland.
A $2 million upgrade will improve a flood prone section of the Plenty Highway, w
hich links Alice Springs to cattle markets in the east.
But there are no plans to seal the road, which some road trains refuse to use.
Central Australian pastoralist Dick Cadzow says it is a good start but more is n
eeded.
"Any improvement that they do to that road is a big help," he said.
"I can give you an instance here, six decks coming down the other day, we could
not get over 30 kilometres an hour.
Levy to pay for rail upgrade angers grain growers
Farmers on South Australia's Eyre Peninsula are angry at a proposed grain levy t
o pay for a regional rail upgrade.
Up to $40 million will be spent upgrading road and rail, and farmers are being a
sked to contribute $2 million.
The Regional Development Board says dollar-for-dollar federal funding could be j
eopardised if farmers do not support the 50 cent per tonne levy.
While there has been some support, most attending a grain grower forum at Cummin
s objected to it.
"I just think we're being conned," one farmer said.
"The buck stops at the farmer's gate and we're regarded as a bit of a cash cow.
"Everytime they want money they seem to think 'oh well we'll just whack a levy o
n for a while'."
Salinity threatening Barossa Valley: expert
An Adelaide professor says one of Australia's most renowned grape growing region
s could be infested with salt in 10 years.
A professor in meteorology at Flinders University, Peter Schwedtferger, says gra
pe growers need to minimise irrigation in the Barossa Valley.
He says saline water is being piped from local reservoirs, which is already caus
ing problems.
"If the Barossa is over irrigated with this relatively saline water that's curre
ntly being used, the Barossa's life is going to be limited," he said.
"Once the really serious saline infestation occurs it's going to be too late."
But one of the Barossa's biggest grape growers, Ed Schild, says salinity is not
a problem and estimates only half a hectare is affected by salt.
Cattle station sells for nearly $40m
A Kimberley cattle station has sold in what is believed to be one of the region'
s biggest sales.

A WA agricultural company has handed over almost $40 million for the historic Mo
ola Bulla Station, its 35,000 head of cattle and 300 working horses.
Radical changes to wheat export system may cost millions
The Grains Council says making radical changes to the wheat export system before
this season's harvest could cost the industry half a billion dollars.
Ahead of releasing a blueprint on the future of the single desk next week, the G
rains Council says it will be calling for AWB to retain control of selling this
season's harvest.
The council's David Ginns says despite the obvious concerns over AWB, it is stil
l the best company to manage Australia's wheat exports in the near term.
"It's not just something you can say 'ok let's make a change tomorrow'," he said
.
The council says AWB and other traders have invested millions of dollars based o
n AWB's control of the pool and any sudden change will hurt growers.
Mr Ginns has also angrily rejected a report suggesting growers want this year's
harvest underwritten to the tune of a billion dollars by the Federal Government.
US reaches agreement with Japan to reopen beef market
US Department of Agriculture (USDA) officials says they have reached an agreemen
t with Japan on steps to reopen that country's beef market.
Imports of US beef were suspended in January after a shipment of veal was found
to include bone material prohibited by the Japanese.
USDA acting under-secretary Chuck Lambert told a Senate panel his team has answe
red Tokyo's remaining questions about January's foul-up at a New York veal plant
and set in motion steps to resume beef trade, starting with a plant safety chec
klist.
"Once that takes place, we will have people in the plants and do those verificat
ion audits, just as fast as we can," he said.
"That probably will take in the neighbourhood of a week to 10 days, to two weeks
.
"And then, the next challenge will be to get the auditings from Japan in, to do
the verification visits."
And Mr Lambert says Tokyo has agreed to do outreach with Japanese consumers to o
utline the changes and reassure them of the safety of US beef - a significant tu
rnaround if true.
Meanwhile beef from the United States is being sold at a 20 per cent discount in
to Australia's fourth biggest market, Taiwan.
Meat and Livestock Australia (MLA) says beef sales from Australia are not being
affected and does not think the Americans are likely to try the same tactic in t
he much bigger Japanese market.
Tim Kelf from MLA says food quality and safety are likely to be the issues in Ja
pan, not the price.
"The retailers are being very cautious about just jumping back into American pro
duct, the Japanese are not going to rush back to American product," he said.
"I wouldn't necessarily have agreed with that 12 months ago but I think that thi
s time the Japanese consumer from my previous experience many years ago are fair
ly twitchy.
Govt clears way for Snowy Hydro sale
There has been heated debate in Federal Parliament, with the Government clearing
the way to sell its 13 per cent share of the Snowy Hydro Electricity Scheme.
The Government and Opposition support the sale but the Nationals' Kay Hull and i
ndependents oppose it, saying privatisation could harm irrigator water entitleme
nts and environmental flows.
Member for New England Tony Windsor says the Government has rushed through the s
ale motion without enough public consultation.
"There are so many unknowns in terms of the Murray Darling system that this is n
ot the time to place into private hands an instrumentality that can have an impa
ct on environmental and water entitlement needs of that system," he said.

Pilbara escapes major cyclone damage

Western Australia's Pilbara region has escaped major damage from cyclone Glenda
despite the category 4 storm reaching speeds of 180 kilometres an hour.
The cyclone crossed the coast last night at Mardie Station, a cattle property 10
0 kilometres west of Karratha.
After enduring five hours of deafening winds, Mardie pastoralist Richard Climas
now has a big clean job up on his hands.
"There's a bit of carnage around, we've got doors off sheds. A big shed door, th
ey're hangar doors so they're pretty big doors and one of them come loose and we
happened to be looking out the window and see it go flying past," he said.
"And got a few of the solar panels have blown over actually bent the 50 millimet
res square steel, just bent it like toothpicks, so got a bit of work this mornin
g."
Big rainfall from cyclone Glenda is expected to increase the threat of locust pl
agues in WA.
Entomologist Kevin Waldon says there are already a large number of locusts acros
s the State's agricultural regions.
He is warning farmers to be vigilant because there is a risk that locusts will s
urvive until the beginning of seeding.
"Given the green conditions we've got now, I expect the locusts will survive at
least five to six weeks," he said.
Brisbane company to take majority stake in US ethanol producer
A Brisbane-based company will take up a 60 per cent stake in the United States'
biggest farmer-owned ethanol producer.
Farmer members of Midwest Grain Processors in Iowa voted to support Global Ethan
ol's bid this morning.
David Nelson from Midwest Grain Processors says the deal will lead to a massive
expansion of ethanol production both in the US and Australia.
More incentives needed to biofuel take-up
A sustainable energy expert says there are not enough incentives for country peo
ple to start using biofuels.
While 75 per cent of the world's renewable energy projects are based in the coun
try, Matthew Rosser from WA's Sustainable Energy Association says it is cheaper
for farmers to buy diesel under the current tax system.
He says the demand for biofuels will come from city consumers, who do not get fu
el exemptions.
"For the agriculture sector, the incentive to move towards biofuels isn't as str
ong as what it would be for consumers within the metropolitan areas," he said.
Mixed reaction to airport ID cards
Security at regional airports is being stepped up from today with the introducti
on of compulsory identification cards for all staff.
All airport workers from pilots to cleaners will need clearance from ASIO, the D
epartment of Immigration and the Federal Police.
But not everyone is happy.
Sonja Mitchell from aviation company Sling Air, in the far north of Western Aust
ralia, says the cards are a huge cost and it is difficult to justify the securit
y benefits,
"All it means really is extra cost, It has no obvious safety or security benefit
at all, especially in a town like Kununurra," she said.
"We don't have fencing around the airport perimeter, there is fencing up to a po
int where the jets in at the airport terminal, the rest is just the same as usua
l. It's only an added cost of $180 per staff member that needs to go airside."
Fruit exports to Taiwan set to resume
The Federal Government says table grape and citrus exports to Taiwan are set to
resume.

The trade was halted at the start of the year because of Taiwanese concerns abou
t Queensland fruit fly.
Growers reject latest NZ apple bid
Apple and pear growers have rejected New Zealand's latest bid to export apples t
o Australia.
Submissions closed yesterday on a new draft risk import analysis which would all
ow New Zealand apples into the country.
But growers like Tom Quirke from Loxton, in South Australia, say the risk of the
disease fireblight is still too great.
"The last thing we need is to have something further to cause an industry to bec
ome unviable and that's exactly what would happen if New Zealand apples arrived
in Australia," he said.
"It's not if we got fire blight but when we get fire blight. It's too much of a
risk. We could never support that."
Wool market falls
The wool market has again fallen away due to the quality of wool on offer at sal
es this week.
The eastern market indicator dropped six cents, to finish at 738 cents a kilogra
m clean.
New mulesing alternative may help make lambs fatter
Australian Wool Innovation says alternative mulesing methods are helping lambs t
o gain weight faster.
Mulesing involves removing a fold of skin around the breach area, and has been t
argetted by animal welfare groups as inhumane.
AWI has been trialling a clip and an injection system, which removes wool from t
he breach and tails of lambs.
Spokesman Scott Williams says lambs with the clips grew to 26 kilos, while the m
ulesed lambs grew to 24 kilos, but he is warning growers about getting too excit
ed.
"The growers we're working with recognise that we're in the research and develop
ment phase," he said.
Shearing course targets keen teens
Teenagers in Victoria are being given a taste of life in the shearing shed, as t
he industry tries to save thousands of dollars on wasted training.
Woolgrower levies have funded the course, which is designed to attract the best
novice shearers, and stop trainees dropping out once they discover they do not l
ike the work.
Town to feel impact of workers' sacking, says union
The sacking of 29 workers at an abattoir at Cowra in central western New South W
ales is fuelling debate over the Federal Government's new workplace relations la
ws.
Unions say the workers have been told they can apply for 20 new positions, with
a $200 a week pay cut.
Charlie Donzow from the Meat Industry Employees Union says the whole town will f
eel the impact.
"By reducing workers' income, it means that it reduces the overall expenditure w
ithin the immediate town and area so that does have a flow-on effect to the over
all town economy," he said.
"Now the new Workchoices legislation unfortunately allows companies to take this
position because they can simply claim it's because of operational reasons."
Govt urged to take its time negotiating China FTA
Farmers are warning the Federal Government to take its time negotiating a free t
rade deal with China after a push by Chinese Premier Wen Jiabao to accelerate ta
lks.

China's demand for Australian farm produce has tripled in the past decade and is
now worth more than $3 billion to local farmers.
Premier Wen is in Canberra to among other things push the free trade negotiation
s forward.
But Ian James from vegetable grower group Ausveg is warning slow and steady coul
d be better approach.
"Our concerns would be that in the past that basically Australian agriculture pr
obably hasn't done as well as what most people would have expected," he said.
National Farmers Federation president Peter Corish says farmers want a deal soon
but not at the expense of a complete agreement which includes farm goods.
"That of course is a good thing for Australian agriculture as long as we get a c
omprehensive deal that includes agriculture at the end of the day," he said.
Trade Minister Mark Vaile says he will not be rushed and will only settle for a
comprehensive deal that includes agriculture.
Meanwhile the uranium industry says it welcomes a move to export yellowcake to C
hina but will not support price regulation.
Premier Wen has floated the idea of price fixing to stop the cost of uranium ris
ing too high like other raw materials including coal and iron ore.
But Ian Hore-Lacy from the Uranium Information Centre says resource deals are co
mmercial contracts, driven by market forces.
Plantation trees may contribute to greenhouse gas levels
New research suggests plantation trees could actually contribute to greenhouse g
as levels rather than lower them.
A report in the international science journal Nature says the trees emit methane
.
It was previously thought methane emissions from plants came from areas where ox
ygen was limited, like rice paddies.
Research scientist Philip Polglase says while the finding was totally unexpected
, it is not necessarily alarming.
"What we in Ensis have done recently is compare expected rates of methane releas
e from tree plantations with the rates of carbon uptakes," he said.
"The amount of methane released is only a very small amount or the carbon equiva
lent taken up. We think it's about less than 5 per cent.
Judges notice impact of climate change on wine quality
The quality of wines world-wide is being affected by climate change and critics
and judges are already noticing the changes.
That is the consensus from a world conference on climate change and wine in Euro
pe.
An Australian speaker at the conference, Dr Richard Smart, says industry leaders
are already planning for big shifts in varieties grown in established wine regi
ons.
Better disease reporting systems urgently needed: academic
A leading health academic says humans are at a greater risk of contracting disea
ses like the plague, Ross River fever, SARS and HIV because health authorities a
re not properly tracking diseases carried by animals.
Professor Peter Curson says humans now often come into contact with wild animals
and developments like housing estates on former farmland increase the risk of e
xposure to disease.
He says better reporting systems are urgently needed.
"One classic example of this is how we collect or survey information about infec
tion in animals and how that is done independently from collecting material abou
t disease in humans," he said.
Concerns mount over wool quality
Concerns are growing in the wool market over the amount of pool quality wool on
offer.
Despite a weaker Australian dollar, the market has dropped significantly in rece

nt weeks.
Mike Crooks from Elders says quality issues need to be addressed to lure buyers
back.
"We've got a lot of tender wool and old wool coming onto the market as a percent
age of the overall catalogue and countries, other than China, are really not in
there going like we know they can be," he said.
Grain growers expected to approach plantings with 'caution'
High fuel and fertiliser costs, a low Australian dollar and global grain prices
will affect plantings for this season's grains crops.
Forecasters say most farmers are expecting average seasonal conditions but there
is still uncertainty about expected prices.
Plantings of wheat, barley and canola are all tipped to be similar to last seaso
n.
Ron Storey from Australian Wheat Forecasters thinks many growers will play it sa
fe.
"I think a lot of farmers are still under financial pressure. Whilst in a yield
sense last year didn't turn out too badly, across Australia, the prices of cours
e were very, very low around harvest time so people are pretty nervous about tha
t and they'll be looking for a recovery year this year and approaching it with q
uite a bit of caution I'd think," he said.
With average rain, Mr Storey's forecasting a national wheat crop of around 22 mi
llion tonnes for the 2006-07 season.
And there is some good news, a drop in forecast corn plantings in the US is expe
cted to lead to improved wheat prices.
While less corn will be grown, there is expected to be high demand for the crop
from the growing ethanol industry.
WA's north-west mops up after Glenda
Western Australia's north-west is mopping up after its fourth cyclone of the yea
r which has spared the region from major damage or flooding.
When category 4 cyclone Glenda crossed the coast late last week it dumped hundre
ds of millimetres of rain, sparking fears of rising rivers and flooding, however
most areas have escaped unscathed.
Carnarvon banana growers are thanking their lucky stars Glenda petered out befor
e it hit the region, sparing the region's banana crops.
Grower Bruce Munro says it was a nervous wait on Thursday evening.
"We did really well. We copped a little bit of wind, there's an odd bunch down b
ut we survived very well," he said.
Meanwhile the region's mining industry is also mopping up.
Dept to lease out ag research stations
In a major shake-up, Western Australia's Department of Agriculture is planning t
o lease out its 13 agricultural research stations to farmers.
Spokesman Rob Delane says the stations are too small and not productive enough t
o allow leading research work.
"A small department of agriculture research station with a couple of hundred hec
tares of bulk crop is not the place to demonstrate leading cropping techniques w
hen our neighbours have got properties five and 10 times our size," he said.
'Self-promotion' needed in agriculture industry
Agriculture's future leaders say the industry has to do more to promote itself.
More than 30 young people have taken part in a Young Rural Leaders' Course in Ca
nberra and believe the farm sector is marred by the image of drought-stricken fa
rmers.
They also believe urban consumers do not understand what role farmers plan in pr
oducing their food.
Victorian winemaker and lamb producer BeN Clifton says agriculture needs to get
proactive.
"Self-promotion is the best way to do it," he said.

"We've got a good product and I know in my region, especially in north-east Vict
oria, we are absolutely spoilt almost every season even with the wine in the are
a.
"There's not a single wine style in Australia that can be made that can't be mad
e in north-east Victoria but we have to tell people that.
Age no barrier to competitive wood chopping
Competitive wood chopping might be considered a young bloke's game but an 84-yea
r-old Tasmanian has shown age is no barrier.
Retired tree feller and former wood chop title holder Henry Munday was a crowd f
avourite at the Hamilton Show north of Hobart at the weekend.
While he took almost five minutes longer than his competitors in the wood chop,
he got there in the end, with the help of an old mate.
"That's an old plum axe, one of the old American plums, it's like me, it's prett
y old," he said.
"But it's not a big axe, I don't use real big axes.
"I'm not strong enough now like those other big fellas out there to use big heav
y axes so I use the lighter one.
Central Australian cattle head west
Central Australia's beef producers are reaping the benefits of recent heavy rain
falls in Western Australia.
Despite the rising freight costs, WA pastoralists are buying cattle from the cen
tre as they look to cash in on the best season in years.
New crop varieties double yields in East Timor
New crop varieties being trialled in East Timor have doubled yields.
Maize is the stable crop along the rugged country on the doorstep of Darwin and
harvest is now under way.
In the steep uplands of Liquica overlooking the capital of Dili, some maize farm
ers have recorded yields of up to three tonnes per hectare.
That is twice the average and is the result of five years of research and collab
oration under the Seeds of Life project, which includes rice, casava, sweet pota
toes and peanuts.
This Australian-funded initiative aims to improve nutrition and wellbeing amongs
t the subsistance-farming families of this newly-independent nation.
Wine grapes oversupply to impact on company profits
The global oversupply of wine grapes is starting to hurt the industry's big comp
anies.
The world's largest wine business, Constellation, is tipped to announce a lower
than expected profit to the New York Stock Exchange later this week.
US wine industry forecaster John Fredrickson says the global market is in a down
phase, particularly for countries producing cheap bulk wine.
But he says in Australia, the answer is not in growing fewer grapes.
"You start to talk about pulling grapes, well that is really drastic, that means
you have some other alternative and I don't think it is going to be any huge pe
rcentage of vineyards that run into that kind of extreme difficulty," he said.
Meanwhile a new research program for the wine industry will develop new export m
arkets and create wine to suit specific tastes.
The Grape and Wine Research Development Corporation is using federal funds to in
vestigate the wine tastes of consumers in countries like China, India, Eastern E
urope and South America.
Professor of wine marketing at the University of South Australia, Larry Lockshin
, says packaging, labelling, pricing and wine styles will also be considered.
"We're not going to come up with an answer that says, 'this is the wine for Chin
a'," he said.
"We're going to come out with the same thing scientists have come out with.
"This is, these are yeasts and these are the flavours they produce, these are pr
uning and canopy training techniques, this is what they do to your tannin levels

.
"We're going to develop a method. Companies will then be able to decide whether
they want to use it to develop wines for their own brands that suit different ma
rkets."
And the Victorian Farmers Federation wants better regulation of tax incentive sc
hemes to stop oversupply problems.
President Simon Ramsay says the schemes have contributed to over-investment in v
ineyards, leading to an oversupply of wine grapes.
He says in south-west Victoria tax incentives for timber plantation investors se
em to have affected normal competition for land.
"What we don't want to see is good traditional agricultural farming land being t
urned into plantations that have a sort-of unclear 12 year profit period where w
e are not allowing the food and fibre production to continue for generations," h
e said.
Farmers warned about loss of single desk for wheat exports
Farmers have been warned that grain prices could drop dramatically if AWB loses
control of the single desk for wheat exports.
AWB International director Clinton Starr told a meeting of graingrowers at Murto
a in Victoria last night, that the company has secured a $13 per tonne premium e
ach year through the single desk.
He says farmers should be very concerned about any plans to change the single de
sk after the Cole inquiry and AWB's experience in managing the system is as valu
able to growers, as the single desk itself.
"I don't say that that is the only structure that can deliver that," he said.
"But what I would say is that if you change it you have to be very careful when
you change or you effect change because in fact a lot of it is wrapped up in the
intellectual and brain power of the people you employ to deliver the excess ret
urns to you."
Meanwhile India is looking to import a further 1.5 million tonnes of wheat this
year.
Tribunal rejects call for southern bluefin tuna ban
A conservation group's attempt to ban the export of southern bluefin tuna from P
ort Lincoln in South Australia has failed.
The Humane Society International (HSI) put a case to the Administrative Appeals
Tribunal for tuna exports to be banned because it believes the species is endang
ered.
But after three years of public consultation, the tribunal has upheld the Federa
l Government's decision to allow exports to continue.
Tuna Boat Owners Association president Brian Jeffriess says no-one else agreed t
hat tuna was at risk.
"The court didn't think so, the Minister didn't think so, the public process did
n't think so," he said.
US joins call for end to dairy subsidies
The US has joined Australia and other major dairy exporting countries to call fo
r an end to subsidies, which they say are crippling legitimate trade.
The Global Dairy Alliance has written to the World Trade Organisation (WTO), als
o calling for greater market access by 2010.
Chairman of the Australian Dairy Industry Council, Allan Burgess, says having su
pport from a heavily subsidised farming country like the US gives the campaign a
stronger voice.
"And they still have certain levels of subsidy there and if the WTO changes take
place they'll be reduced substantially," he said.
Goat abattoir lays off 140 in quarantine dispute
Australia's largest goat abattoir in western Queensland has temporarily closed t
o address animal welfare concerns.
In November, the Australian Quarantine and Inspection Service (AQIS) required re

pairs to flooring in the abattoir's forcing yards, which were not carried out.
Managing director of Western Exporters Neil Duncan says he has been forced to la
y off 140 workers, including 20 Vietnamese workers on special visas.
He says they will be left without an income and without access to Centrelink pay
ments.
"They're not able to access anything, there again we're looking into that at thi
s stage to see how we can help everybody out, they still will be employed by the
company but how and where we're going to do it, I'm just not quite sure at this
stage," he said.
"We will make every effort to get everybody back to work as soon as possible."
Sheep succumb to lupinosis outbreak
Two hundred sheep have died on South Australia's Eyre Peninsula, which is experi
encing its worst outbreak of lupinosis in 20 years.
Twelve sheep producers have reported deaths, with come cattle suffering symptoms
as well.
Central Australian beef producers benefit from WA rain
Central Australia's beef producers are reaping the benefits of recent heavy rain
falls in Western Australia.
Despite the rising freight costs, WA pastoralists are said to be buying cattle f
rom the centre as they look to cash in on the best season in years.
Alice Springs livestock agent Herby Neville says it is the first time in four ye
ars that he has seen central Australian cattle heading west.
"They're experiencing a very, very good season over there and I think it's given
the Pilbara and all that Western Australia, the Gascoyne and all that a very go
od drink," he said.
"And because of their flush of the season over there, they sometimes come over h
ere and get a bit excited and buy a few cows and calves."
But agents in the west believe pastoralists are more likely to look to the Kimbe
rley for cattle, because of the high cost of transport.
WA pastoral livestock manager Eric Broad says despite this year's high rainfall
not everyone can afford to restock.
"It's an interesting question, there's a belt of country that's been hammered fo
r about five years without any rain. And they're the ones that are really low do
wn in numbers," he said.
Lessons learnt from mad cow epidemic
The discovery of mad cow disease has taught scientists how to better manage dise
ase and improved how farmers and industry respond to new virus outbreaks.
It has 10 years since the link was discovered between mad cow disease in cattle
and CJD in humans, with billions of dollars spent in control and research ever s
ince.
Professor Colin Masters from the University of Melbourne says science has learnt
many lessons from the mad cow epidemic.
"We've learnt a lot about risk minimisation and disease management," he said.
"If we've learnt anything at all we should have learnt that it's not a good thin
g to feed one species back to itself.
"In Europe it's been virtually outlawed, the situation in North America is diffe
rent, they're watching very carefully what's happening in Europe and they're tak
ing what appears to them to be appropriate measures at this time."
Dam to house turtle hatchery
The new Paradise Dam in south-east Queensland is soon to be the home of a worldfirst turtle hatchery.
Concerns were raised over the future of the endangered elseya turtle during cons
truction of the dam on the Burnett River, south-west of Bundaberg.
But the new hatchery is designed to restore turtle numbers, with thousands of ba
by hatchlings expected to be released over the next five years.
Craig Thamm from the Burnett Dam Alliance says attacks on eggs and hatchlings by

predators is the single biggest risk to the turtle's future.

"Particularly your feral predators such as foxes and pigs are [preying on] the e
ggs and you're getting very few, if any hatchlings back into the river," he said
.
New plan calls for changes to single desk wheat exports
AWB would lose control of the single desk for wheat exports and its power to sto
p rival companies from exporting wheat, under a new plan released at Grains Week
.
The report, prepared for the Grains Council, also calls for the Wheat Export Aut
hority to be replaced with a grower-owned licensing and marketing body called Au
stralian Wheat Associates.
Report author Colin Benjamin says the Cole inquiry shows the wheat export system
is failing and growers risk losing control of their sector unless they accept m
ajor changes.
"To get into a global competitive game you've got to be playing in the league of
your competitor and you've got to be strategic," he said.
"US Wheat Associates has been the long term major league champion fighting us wh
ich we have successfully beaten to a pulp over the decade, we now have to be see
n as fighting on a level playing field, prior to the Doha Round because if we do
n't, we will have it imposed upon us."
The Grains Council says Australian Wheat Associates would be modelled on industr
y bodies for the meat and dairy sectors.
The Council says that would give AWB's current veto powers to growers, along wit
h its responsibility to market and promote Australian wheat.
Chairman Murray Jones says if the changes are adopted, they will be implemented
over three years.
"The last thing growers want is to have an abrupt change," he said.
"It just can not happen. It's just not going to work, it will affect our financi
al system, growers want security and planning, they want to know their finances
are secure, they want to be assured they're going to get their payments, they wa
nt to have a transparent system they can see through. That's what they're asking
for."
Meanwhile five US farm state senators have asked the Bush administration to inve
stigate AWB payments to former Iraqi dictator Saddam Hussein.
The group also wants AWB sanctioned if it is found to have violated US trade law
or World Trade Organisation (WTO) rules.
The senators cite the findings of a UN audit of AWB, which found it paid some $2
20 million in alleged kickbacks to secure wheat contracts through the UN oil-for
-food program.
Top Senate Agriculture Committee Democrat Tom Harkin's spokesman Dave Townsend s
ays US farmers should not have to compete with foreign governments in trade.
"It's clear that there were gross violations of the UN oil-for-food program by t
he Australian Wheat Board and we feel that the US Government needs to make a det
ermination whether the law was broken," he said.
Gold price increase may force jewellery manufacturing overseas
If you are in the market for a gold wedding band, you had better be prepared to
pay more.
The price of June spot gold hit $US596 an ounce this week, putting enormous pres
sure on Australian jewellery makers.
John Howie, from the Australian Jewellers Association, says at current gold pric
es, manufacturers will be forced to up the price of jewellery and get their desi
gns made overseas at a lower cost.
"Many Australian manufacturers have bitten the bullet and decided that really wh
at they have to do is design here and use the quality we have in design and manu
facture overseas," he said.
"It's the same as the footwear industry and the clothing industry, we just have
to find other ways to do it."
Those high gold prices and advances in exploration technology are driving a new

gold boom in Victoria.

Ballarat Goldfields has attracted $50 million in international
p up its production.
And while the Stawell gold mine was being wound down before it
Leviathan Resources, exploration manager John Dugdale says it
"The grade we try to keep up to the mill is five and six grams
nne," he said.

investment to ram
was taken over by
is now expanding.
of gold to the to

Minister confident forest scheme will hold up to scrutiny

Federal Forestry Minister Eric Abetz is confident that Australia's Forest Standa
rd will be upheld after a UK Government review.
The UK has placed a number of global forest certification schemes on probation w
hile it reviews guarantees that the wood is sustainably and legally harvested.
Senator Abetz is rejecting suggestions that Australian forest products have been
banned and is confident that the Australian Forest Standard will hold up to int
ernational scrutiny.
"We as a government can rely on robust, peer reviewed, scientific evidence and w
e will be putting the facts fairly and squarely before these governments," he sa
id.
Ewe market remains firm
Ewe prices are going against the seasonal trend and maintaining good saleyard pr
ices across Australia.
It is believed to be partly due to flock rebuilding after the drought and also a
switch away from the high inputs and uncertainty of cropping.
Breeding stock is in demand from growers put off by narrowing grain profits.
Aaroy Yiori from the national livestock reporting service says farmers want ewes
mainly for the prime lamb market.
"Re-stocker demand's pretty strong, especially on females and that's certainly o
ne of the things that's underpinning the market," he said.
Bare bummed sheep producing better wool: expert
Research is showing that merinos which are naturally bare in the rear end produc
e better fleeces than those from other sheep.
The discovery of the sheep on South Australia's Eyre Peninsula two years ago rai
sed hopes of using breeding to end the need for mulesing and crutching.
Professor Phil Hynd from the University of Adelaide says a study of the sheep ha
s also found that the trait can be bred into commercial flocks.
"Bare sheep don't produce less wool, they actually produce more wool," he said.
Goat abattoir back to full production
The nation's largest goat abattoir has returned to full production today, two da
ys after telling 140 workers they would be laid off temporarily.
Rainfall figures recover in most areas
Although some parts of south-east Queensland are still very dry, the National Cl
imate Centre says the rest of the country has done well out of recent rainfall.
The centre's latest drought statement shows rainfall figures have recovered in m
ost areas over the past year, with isolated dry patches in Tasmania, Victoria an
d New South Wales.
Climatologist Blair Trewin says charting rainfall patterns over three to 12 mont
h periods can be helpful.
"Really the time scales that drought matters on depends on what you're trying to
do," he said.
Rice farmers back in production
After years of low water allocations and tough growing conditions, rice farmers
in southern New South Wales are relieved to be back on their harvesters this mon
th.
During the drought, many farmers thought they had grown their last crop but with

growing demand for rice, more growers are returning to the crop.
Rice grower Tim McKindley, at Caldwell near Deniliquin, says providing there is
enough water around, rice has a good future.
High prices revive southern Qld fruit and veg industry
A major fruit and vegetable growing district in Queensland is celebrating some o
f its best produce prices in decades.
Hot summer conditions saw a drop in production on the Granite Belt in the state'
s south, forcing prices to triple in some cases.
Stanthorpe capsicum grower Cameron Gow says the high prices have revived the loc
al industry.
Citrus growers export returns tipped to fall
Australia's citrus growers will be able export more fruit to the United States t
his year but returns are tipped to fall.
A larger navel crop is expected this season and 1.9 million cartons of oranges a
re expected to be exported.
Stuart Monaghan from DNE World Fruit Sales, which imports Australian citrus into
the US, says growers will have to accept lower prices to sell the fruit and com
pete with South Africa.
"We've got to get retail prices in the US down to where consumers will start buy
ing them right away rather than starting off at higher prices," he said.
Local customers remain priority for WA banana growers
Western Australian banana growers continue to face pressure to send fruit to the
eastern states.
Two and a half weeks ago, fruit from Carnarvon was raised as a solution to an im
pending nation-wide banana shortage in the wake of cyclone Larry in Queensland.
But agent John Mercer met growers in Carnarvon last night and he says while the
pressure from the east is intense, Perth markets still remain a top priority.
"We're now two and a half weeks wiser then we where before. Certainly the overwh
elming thing that came out of the meeting last night is that we want to supply W
A customers first," he said.
"If per chance the demand from the eastern states gets greater than that, there'
s a possibility we may send some fruit east. My guess is long term we'll send a
little bit of fruit over there."
Meanwhile the Federal Government has promised to review assistance given to cycl
one-affected farmers in north Queensland if necessary.
Banana growers have criticised the Government's $200 a week wage subsidy to keep
workers on farms.
Grazier borrows boat to help save flooded cattle
A western Queensland grazier says he has had to use a boat to save cattle from f
loodwaters on his property.
Heavy recent rain has dumped 150 millimetres on the town of Aramac in the past 4
8 hours, leading to record flooding in places.
Andrew Cowper from Merino Downs says he had to borrow his neighbour's boat to ge
t to his cattleyards and stop weaner cattle from straying into the fast running
water.
"I was worried we'd lose them if they'd got swept out of the smaller creek into
the main Belltopper creek," he said.
AWB rejects wheat export system plan
AWB has rejected a new plan to overhaul the wheat export system and says it is w
rong to make changes based on assumptions the industry is in crisis.
The plan, unveiled by the Grains Council, would remove AWB's power to block othe
r companies exporting wheat and increase shipments from AWB's rivals.
Attacking the plan, AWB chairman Brendan Stewart told Grains Week delegates, the
industry was not in crisis because of the Iraq kickbacks scandal.
"What I see at the moment is a debate that's being done is a vacuum and debate t

hat's being done in a self-induced crisis mode which I have to say is not there,
" he said.
The discussion paper suggests AWB could lose the single desk in 2010, while a ne
w body called Australian Wheat Associates would take over the company's veto pow
ers.
But AWB's Ian Donges told delegates is was dangerous to base Australia Wheat Ass
ociates on industry companies like Meat and Livestock Australia.
"I wouldn't use that as a model that necessarily is going to deliver a better ou
tcome just because it is a model. There are other ways of doing it," he said.
Mr Donges also says the timelines to implement the plan where unlikely to be ach
ieved.
The discussion paper has also been criticised by growers and AWB's rivals.
The New South Wales Farmers Association says it will not support any plan which
increases exports through companies other than AWB.
There was also an attempt from one grower to call a no-confidence motion in the
Grains Council.
The Grain Exporters Association's Alick Osborne says while the plan provides for
increased export competition, it does not go far enough.
"This may go some way to sharpening that process up if there are other exporters
that can access particular markets and can post their bids," he said.
CBH profit drops
WA grain handler and marketer Co-operative Bulk Handling (CBH) has reported a ne
t after-tax profit of $61.4 million.
That is down $40 million, as a result of a 3 million tonne drop in last season's
grain harvest.
Residents warned as river continues to rise
Police are warning the residents of Katherine in the Northern Territory to be pr
epared to evacuate as the Katherine River continues to rise.
The Katherine River has grown into a mighty brown fast flowing flood today, a fl
ood that has already broken its banks outside of town and is now scant centimetr
es from doing the same in Katherine itself.
While police are hoping the river will peak shortly at 18.89 metres, there is th
e continued possibility the river will continue to rise and authorities are warn
ing residents to pack up the essentials and be prepared to hear the evacuations
sirens.
Abattoir expected to confirm sackings withdrawn
The Cowra abattoir is today expected to confirm it is withdrawing termination no
tices for 29 workers.
The decision to sack the employees and offer lower paid contracts became a major
test of the Federal Government's new industrial relations laws.
One of the affected workers, Rodney Veney, says he is thankful for the national
attention on the Cowra abattoir because it helped save his job.
"Cowra's only a pin dot on the map and to get all this attention I think managem
ent might have been a bit shocked about it," he said.
"As I said, they've taken the termination notice back but if I didn't have the j
ob at the abattoir I'm in a bit of a difficult position.
Rural doctors want funding for more psychologists
Rural doctors say new funding for mental health services must take into account
the lack of psychologists in regional Australia.
The Federal Government will spend $1.8 billion increasing psychology services an
d introducing new programs for young people to cope with depression.
Dr Ross Maxwell, president of the Rural Doctors Association, believes a plan to
employ mental health nurses in medical clinics is a good approach for country ar
eas.
"I think it has the potential, if well managed and well delivered, to make a dif
ference," he said.

"I think the initiatives around employing mental health nurses in psychiatrists
and general practice rooms, I think that is a very interesting and innovative wa
y forward.
Exporters can protect themselves against interest rate rise: strategist
Talk in the financial markets this week is not good news for farmers or the reso
urce sector.
Markets are abuzz with speculation that interest rates could soon rise for the f
irst time in more than 12 months.
The forecast has led currency market speculators to buy the Aussie dollar, pushi
ng it up by one US cent in one day.
Interest rate strategist with Macquarie Bank Rory Robertson says any rate rise w
ould be small and exporters can protect themselves.
"Australia's got this once in a generation commodity price boom going which woul
d tend to produce upward pressure on the Aussie dollar," he said.
"Yet the Australian dollar last week was hovering around its post float average
and most economists would say that is a bit bizarre.
Farm succession debate under way in Dubbo
The difficult issue of handing the farm over is being debated at the first natio
nal conference on farm succession this week at Dubbo, in New South Wales.
There is a growing recognition that few individual professionals, like accountan
ts, counsellors and consultants have all the skills to help farm families throug
h the succession process.
Victorian accountant Peter Nelson says the conference has helped him realise the
benefits of obtaining other specialist advice to help his clients.
"Most definitely and there are people who do these sorts of things, you know the
y're more trained and suited to the project. We just need to resource them and b
ring them into our system," he said.
Cattle sale under way in freezing conditions
Cattle buyers from across Australia are braving freezing conditions in Bothwell
in Tasmania, where 5,500 weaners are going under the hammer.
It is the largest single cattle sale in southern Australia, with buyers from Sou
th Australia and New South Wales.
Chris Taylor from Roberts Limited says prices are expected to be high but that w
ill not deter interstate buyers.
"The mainlanders that have come to this sale over the years have been happy to p
ay what's considered as a premium price," he said.
New strains of stem rust disease found in SA
South Australia could be facing one of its worst cropping seasons for the fungal
disease stem rust.
New strains of the disease have been found in wheat plants from across the Eyre
Peninsula and the southern half of the Yorke Peninsula.
Hugh Wallwork of the South Australian Research and Development Institute says we
t conditions over summer helped the disease to thrive.
"I think it would be the most that I have come across in the last 20 years," he
said.
Blue gum woodchip shipment set for Japan
The first shipment of plantation blue gum woodchips from western Victoria and so
uth-eastern South Australia is being loaded at Portland.
The 21,000 tonne load will head for pulp and paper mills in Japan tomorrow and e
ventually half a million tonnes will be sourced locally each year.
Nick Kingsford from Mitsui Afforestation Limited says this first load is a signi
ficant milestone for the industry.
"It's the first commercial shipment and there's a significant resource out there
and from here exports are just going to continue to grow," he said.

Indonesian islands focus of rural development workshop

Agroforestry could be a major step towards food security across Nusa Tengarra Ti
mur.
The islands, in eastern Indonesia, are the focus of an international rural devel
opment workshop in Kupang this week.
Small remote rural villages relying on subsistence agriculture providing for the
ir daily food requirements have developed stands of mahogany, sandlewood, teak a
nd cashews.
There are also small pockets of original forest vegetation within the broader tr
opical savannah grasslands.
But it has been agreed that non-timber forestry products such as honey, dyes, me
dicines and fruits could be further developed to generate income.
Exporters concerned about Indonesian ban
Horticultural exporters say Indonesia has effectively banned imports of table gr
apes and other Australian produce, in retaliation for the Papuan asylum seeker a
ffair.
Table grape shipments were stopped indefinitely yesterday afternoon after the Au
stralian Quarantine and Inspection Service received notification from Indonesia
of a new export protocol, which exporters say is unworkable.
Indonesia is Australia's second biggest table grape market, worth more than $50
million.
Brian Ceresa from exporter John Holman and Company says he is in little doubt wh
at has caused action from Indonesia.
"My personal suspicions are simply a knee-jerk reaction coming from the Indonesi
an Government over the refugee status of the West Papuan situation which has bee
n well publicised over the last seven days," he said.
AQIS says it is trying to get to obtain more information about the export protoc
ol, but believes it's likely to affect all countries, not just Australia.
Trade Minister Mark Vaile says he is now investigating the situation in Indonesi
a, but has not received any notification of an official ban on horticultural pro
duce.
He say he will not consider compensation for exporters who might experience dela
ys until more in known.
"I mean it's happened in the past and we'll have a look at the issue on its meri
ts if that eventuates," he said.
US senator seeks US action against AWB
A key US senator claims the Bush administration has sided with Australia instead
of American wheat growers in the oil-for-food scandal, and will use the allegat
ion to press for US action.
Just days after asking the Bush administration to probe whether the AWB violated
US laws or WTO trade rules, top Senate Agriculture Committee Democrat Tom Harki
n has cited US cables first disclosed in the Cole investigation.
"We've now discovered that the Bush administration advised the Australian Govern
ment on how to handle the Australian Wheat Board's growing public problems about
its dealings in Iraq," he said.
"This is very troubling. It appears the administration, outright dismissed any c
redibility to the Australian Wheat Board's contributing to the Hussein regime, u
nder the UN's oil for food program."
US farm payments tipped to fall
Domestic farm payments in the United States are likely to fall under a new farm
bill to be introduced next year.
The US has offered to reduce tariffs and subsidies as part of the Doha world tra
de talks, but will need to reform its domestic policies first.
Visiting Australia, senior economist with the US Department of Agriculture, Caro
le Goodloe says average farm incomes are well above other sectors, and governmen
t assistance is harder to justify.
"Just about all the major players are saying it's time for some reform," she sai

d.
Key US retailers back wool campaign
Two key US retailers have backed the wool industry's multi-million dollar test m
arketing campaign to get American shoppers to buy more wool.
Three bodies are funding the campaign, including Australian Wool Innovation, pro
motional body Woolmark, and the International Wool Textile Organisation.
Head of Woolmark Brenda Mcgahan says the campaign, to be launched in September,
is also trying to boost the price of wool for growers and manufacturers.
"It is a major issue for our growers and also for the international wool pipelin
e," she said.
"A consumer can't buy wool if the retailer doesn't stock it, and a retailer isn'
t going to stock wool if they don't think consumers are going to buy it.
"We'll be working with their buying teams and their sales associates, because wh
y would a consumer pay a premium for something if they don't understand the bene
fits and a good sales man or woman needs to be able to explain to a consumer why
you're going to pay more for a product."
Those two US retailers have not yet been named.
Australian Wool Innovation has appointed Dr John Keniry to chair its 2006 WoolPo
ll Panel.
Dr Keniry led the review in the live animal export trade in 2003.
The poll of woolgrowers is held every three years, to set the level of the wool
tax.
The wool market slipped again at auctions this week, with the eastern market ind
icator dropping off eight cents, to 728 cents a kilogram clean.
Landmark agent Rodney Peglar, says while a seasonal record was paid for a superf
ine bale from northern region, the broader wools performed particularly poorly.
"It's two markets, there are the good wools and unfortunately due to seasonal co
nditions the buyers are having tremendous trouble being able to find enough wool
to make batches up that are sound, or of the right quality," he said.
River level steady in Katherine
The river is steady, and the water very slowly draining away from the streets of
Katherine in the Northern Territory.
The Stuart Highway south of Katherine has now re-opened to light vehicles, altho
ugh the central part of the town remains flooded. Traffic north to Katherine is
restricted to essential vehicles, and the road north to Darwin is still impassab
le.
Weather keeps WA forecasters busy
Life in Western Australia's north-west has never been busier for staff at the Bu
reau of Meteorology at Port Hedland.
Category two Cyclone Hubert is expected to cross the Pilbara coast late tonight.
It is the seventh cyclone to affect the region this year and forecaster Gavin Ed
monds is quickly becoming a household name across the north west.
"It's been very busy hasn't it this season and a lot of people utilise, I suppos
e my service," he said.
"I've got both phones sometimes attached to both ears and there's obviously peop
le queued up on the end of those.
Bird flu confirmed in UK
The deadly H5N1 strain of bird flu has been confirmed in the UK for the first ti
me.
Tests on a wild swan in Scotland have confirmed the disease.
The Scottish Government has set up a surveillance zone and banned the movement o
f birds in or out of the area.
Germany has also reported its first case of bird flu in commerical poultry, and
in Africa, H5N1 has reached the continent's largest city of Lagos, in Nigeria.
Meanwhile, the latest quarantine surveys in East Timor show there is still no si
gn of avian influenza.

Four major initiatives are underway to increase the chances of early detection,
and to help the East Timorese prepare for the disease.
Dr Emma Watkins says improved public awareness, rapid disease testing and helpin
g plan scarce resources are key points.
"Effective surveillance really relies on being able to investigate disease as it
comes along," she said.
So the capacity of the local animal health authorities to do that, is really imp
ortant. So we have undertaken a continuous effort to increase the capacity to lo
cally diagnose this disease.
Researchers aiming for safe Q-fever vaccine
Scientists at James Cook University in Queensland are working to develop an alte
rnative vaccine for Q-fever, which will not produce debilitating side effects.
Q-fever is a highly infectious disease usually caught after contact with affecte
d animals, which causes flu-like symptoms and can be fatal.
The university's Ray Layton says the new vaccine will be developed over the next
six to eight months.
"In fact it's one of the only vaccines out there at the moment where you need to
be screened before you're vaccinated to make sure you can actually be vaccinate
d without too many adverse affects and that probably stems I think from the fact
that they culture this organism in chicken eggs, and a lot of people have adver
se reactions to those egg yolk antigens," he said.
Cattle sales strong
Arctic conditions at the Bothwell calf sale in Tasmania yesterday did not deter
cattle buyers from around Australia.
Nearly 6,000 calves were auctioned for around $3 million.
The top price for the day of $880 a head went to Ellendale graziers Greg and Tan
ia Downham for their Hereford-Charolais steers.
Many of the calves will be shipped to Victoria, South Australia and New South Wa
les.
Greg Downham says prices were up on last year and the calves were in excellent c
ondition.
"We've had an exceptional season, the best that we can remember for a long time,
the spring and summer have just been something out of the box," he said.
US abuzz about Aussie bees
Bee hives are being stolen from almond orchards in the United States, leading to
a rapid growth in imports from Australia.
The bees are vital to pollinate the country's rapidly growing almond industry.
Barry Pobke from the South Australian Apiarist Association, says thousands of ki
lograms of bees could be exported every year.
Wet causes havoc in north-west Qld
Life saving carnivals usually have a fair bit to do with water, but in north-wes
t Queensland too much water has forced the cancellation of an annual fund-raiser
for the Royal Flying Doctor service.
Heavy rain around Kynuna, between Winton and Cloncurry, has flooded properties c
ut the Landsborough Highway, leaving dozens of travellers stranded.
The cook at the local Blue Heeler Hotel Matthew 'cookie' Messina says the big we
t is causing havoc.
Flooding delays Asian live cattle exports
Flooding across the Top End has created major delays in live cattle exports to A
sia.
Ships bound for Indonesia are expected to remain anchored in the Port of Darwin
until after Easter and the market is expected to swing towards available slaught
er cattle.
Steve Ellison from the Northern Territory Live Exporters Association says at lea
st 9,000 cattle are stranded.

"Due to the wet weather at this stage they are having trouble getting them out,"
he said.
"It will certainly affect saleyard numbers and obviously the movement of cattle
wherever.
"The roads are closed, stock camps have got to be able to work to put the cattle
in the yards even if the yards were open. So it's a double whammy really.
"[But] the condition of the cattle is excellent, but no it looks like being a bo
omer season. We'll get the numbers, it's just a case of you have got to be patie
nt."
Meanwhile the Territory's third biggest town is in recovery mode after last week
's flood.
Businesses in Katherine have resumed trading, residents have returned home to as
sess the damage and the Health Department will begin mosquito spraying today.
Local mango grower Peter Marks says the water is falling away quickly and he doe
s not think the flood will delay this year's flowering.
"Another grower spoke to me the other day and he's got one block on the river,"
he said.
"He's got a house there and the house is high and dry but he said the water was
flowing through the trees, not that deep but he didn't see any great concern wit
h it.
"In fact we find if we have a big wet, we have some sections of the paddock that
stay quite wet and they always flower the earliest.
"So they're a weird creature, where none of us have got them worked out too good
yet. Pretty amazing."
North-west of Katherine, residents across the Daly River region are preparing fo
r major flooding within the next two days.
A king tide near the mouth of the Daly River mid-week is also expected to have a
n impact.
Official aims to settle trade dispute with Indonesia
Efforts are under way to rescue Australia's $35 million horticulture trade with
Indonesia.
Exports of grapes, citrus, apples and pears are effectively suspended after the
Indonesian Government imposed surprise new export protocols.
Australian quarantine officials stopped issuing permits for Indonesia on Thursda
y, although a shipment of grapes worth nearly a million dollars was already at s
ea and is in danger of being rejected.
David Minus from the Australian Horticultural Exporters Association says a feder
al trade official has been dispatched to Indonesia to try to settle the dispute.
"Australia is fighting for its horticultural survival and we need every market w
e can hang on to," he said.
"Indonesia is after all a big market, it's not the wealthiest but it's a very bi
g market and it's right on our doorstep.
"We're ideally placed to serve it with temperate fruit and sub-tropical citrus t
hat they have difficulty growing in Indonesia."
Table grape growers hope the quarantine dispute can be resolved quickly.
Australian Table Grape Association president Nick Muraca says despite initial fe
ars, the political dispute over asylum seekers from Papua does not appear to hav
e caused the problem.
"I don't believe that to be the case nor do we have any reason to believe that t
hat is the case," he said.
PM to give statement to AWB inquiry
Deputy Prime Minister Mark Vaile is about to step into the witness box at the oi
l-for-food inquiry in Sydney.
His appearance comes as the Prime Minister, John Howard, confirmed he has been c
alled on to provide a sworn statement to the inquiry.
Senior counsel assisting the inquiry John Agius told a packed hearing room, the
Prime Minister will supply by 4pm tomorrow his confidential statement documentin
g when he first learned of irregular payments by AWB to the Iraqi regime.

This afternoon, Mr Vaile's examination will explore what and when the Trade Mini
ster knew about money paid to the Iraqi Grains Board, the Jordanian trucking com
pany Alia and secret cables advising of complaints by the US Wheat Associates ab
out Australia's inflated wheat contracts with Iraq.
Drought relief funding increase raises questions
The Productivity Commission says the Federal Government's 100 per cent increase
in drought relief funding may need investigation.
Drought relief is set to top $600 million in 2005/06 and receives special mentio
ns in the commission's annual review of government expenditure.
Chairman Gary Banks says the commission is not questioning the need for assistan
ce but says any single item costing more than half a billion dollars could spark
calls for a review.
"There is always a questions about that," he said.
"We never know whether we have got the model exactly right in any area of indust
ry support.
"Clearly drought assistance is extremely important and you wouldn't want to make
any changes without very careful examination of all the issues.
Flooding continues in western Qld
Flooding is continuing to cause problems in Queensland.
Heavy rain in the state's central mid-west last week has cut roads around Longre
ach but flooding in the Thomson River is expected to be a boon for graziers.
Moderate flooding is now expected to extend downstream to Jundah.
Further north, the barramundi are biting after the floodwaters and Arthur McDoua
ll almost landed one in the main street of Normanton.
"Threw a line in down there for a while virtually at the end of the main street,
had a barra on there almost straightaway, got him to the edge of the bank and h
e jumped off the hook but you get in the right place at the right time they get
some good catches when the floods are on," he said.
Merger set to create third largest Aust agribusiness
The stage is set for the formation of Australia's third largest agribusiness beh
ind Elders and Landmark.
The majority of shareholders in New South Wales based Ruralco have agreed to a m
erger with Tasmanian company, Roberts Limited.
Ruralco chairman Richard England says the two companies will combine their wool,
livestock, real estate and rural merchandising businesses.
Mr England expects the board of Roberts to endorse the offer at a meeting today.
"The offer is five Ruralco shares for every eight Roberts shares," he said.
"The merged group will have a market capitalisation in excess of $160 million.
Tomato producer calls for eradication of new plant virus
Australia's chief plant health officers will try to control rather than eradicat
e a new tomato virus in Queensland.
Yellow leaf curl virus has been confirmed for the first time in Australia at far
ms on the outskirts of Brisbane.
It is carried by silver leaf whitefly and quarantine measures are expected to be
announced this week.
James Head from Queensland's largest tomato producer, SP Exports, says an eradic
ation program would have been better.
"I'd say control is probably the easier option to take," he said.
"Whether or not the effects will be what's desired for the outcome, whether cont
rol would be better than eradication, I'd say eradication would sound the better
idea.
Dairy farmers win milk price rise
Western Australian dairy farmers have won another price rise for their milk.
Fonterra lifted prices one and a half centres a litre last month but farmers sai
d that was not enough.

The company will pay another half a centre per litre to milk suppliers to its WA
-based subsidiary Peters and Brownes.
Sheep shearing via phone may ring true in the future
Shearing sheep in the future could be as easy as dialling a number on your mobil
e phone.
Researchers at the University of South Australia are looking for a bioactive sub
stance which would cause wool fibres to break simultaneously at a predetermined
time.
The new method of alternative shearing is still a few years away but researcher
Michelle Hebard says the possibilities are endless.
"The animals would receive an implant, this may be in the ear at tagging time,"
she said.
"That implant would contain a bioactive which would be activated through the mob
ile.
Country meets city at Royal Easter Show
The country has come to the big smoke for the Sydney Royal Easter Show - Austral
ia's biggest.
The Royal Easter Show is an event on an amazing scale - 15,000 animals competing
for over half a million dollars in prizemoney over the two weeks and 900,00 peo
ple are expected to come to watch them do it.
Good turnout for district fundraiser
Around 200 people turned up in the tiny WA town of Yuna for the district's bigge
st fundraiser at the weekend.
The Whelarra Regatta started around five years ago and involves small teams rowi
ng handmade rafts across a 170 metre dam.
People crowded the banks to see the teams race.
Carisa Grylls of Chapman Valley was in the UDL team and says it was a great day
to show off the community.
"Well we didn't really think that we were going to win the race, so we kind of t
hought that we'll head towards the bar," she said.
US corners Iraqi wheat market
As the oil-for-food inquiry drags on, new figures show US wheat exports to Iraq
over the past year have grown almost five-fold.
The US exported about 500,000 metric tones of wheat to Iraq last marketing year
before the UN Volker report on alleged AWB kickbacks to Iraq led to a cut-off of
AWB shipments and a surge in US exports.
"For the past year, we've captured almost three-quarters of the Iraqi wheat mark
et, which is quite large, which is well over 3 million tonnes and we've gained a
very large share of the Iraqi rice market," Bob Riemenschneider, grain and feed
director at the US Foreign Agricultural Services, said.
The US has exported about 2.4 million tonnes of wheat to Iraq so far this market
ing year and Mr Riemenschneider expects that to increase gradually in coming yea
rs.
Meanwhile the US is ramping up pressure on Australia's single desk for wheat exp
orts, as Federal Government ministers begin appearing before the Cole inquiry.
Key member of the US Agricultural Committee Senator Tom Harkin says Australia ag
reed to rein-in trading monopolies in its free trade agreement and the single de
sk goes against world trade rules.
Spokesman for Senator Harkin, Dave Townsend, says the US is ready to respond to
the Cole inquiry's recommendations.
"Keep in mind this is in the context of the WTO negotiations and I think it's fa
ir to say that everyone is looking to have more transparent and open market thro
ugh any reform in the WTO and having a monopoly in charge of wheat exports preve
nts that from happening," he said.
US dry spell looks positive for Aust wheat growers

A continuing dry spell in the United States is looking positive for wheat grower
s here in Australia.
Monthly supply and demand estimates were released by the United States Departmen
t of Agriculture overnight and are largely unchanged.
But national pool manager for AWB Limited David Johnson says the dry conditions
are expected to have an impact on America's hard red winter wheat crop, which is
in direct competition with Australia.
"We've already seen downgrades in their production forecasts in Texas and Oklaho
ma in the southern states," he said.
Govt knew of new Indonesian fruit and veg protocols
The Federal Government says it has known for almost a year that Indonesia was pl
anning new import protocols for Australian fruit and vegetables.
The conditions were imposed last week and growers say the $35 million export tra
de is effectively at a standstill.
The Federal Government believes Indonesia put in the protocols aimed at protecti
ng it from fruit fly after receiving an infected fruit shipment from another cou
ntry.
Agriculture Minister Peter McGauran says Australia lodged submissions on the pro
tocols last year but did not hear back from Indonesia until the conditions were
imposed on April 4.
"Indonesia did not respond to the submission of Australia and the various other
countries before deciding on a new decree," he said.
Centre to make sure biosecurity experts up to the job
Making sure the experts are up to scratch will be one of the tasks of a new bios
ecurity risk analysis centre in Victoria.
The Federal Government has commissioned the University of Melbourne to investiga
te how Australia assesses biosecurity threats and whether it is being done well
enough.
Professor Mark Burgman says part of his job is working out the best way to keep
Australia free of diseases like foot and mouth or bird flu.
"Initially our focus is biosecurity and we will develop tools to help people do
that job better," he said.
US beef processor banned from exporting to Hong Kong
US meat exports to Asia have been dealt another blow, with a major processor ban
ned from exporting beef to Hong Kong.
A shipment of Cargill beef was found to contain fragments of bone in contraventi
on of export regulations designed to prevent the spread of mad cow disease.
Chief market analyst at Meat and Livestock Australia Peter Weeks says the news w
ill not affect Japan but the latest controversy could delay the resumption of US
exports to Korea.
"But outside of Hong Kong is far more significant particularly in Korea where th
ey have linked their reopening, the timing of their reopening to instances, to t
he previous instance as well as the third BSE case in the US and the circumstanc
es surrounding that," he said.
Brazil beef exports no threat to Australian markets: producer
There are claims today that Australia will not have to compete with the world's
biggest beef exporting country in our key markets for at least a decade.
Beef producer Chris Ward has been working in Brazil for 20 years and says the co
untry is struggling to increase its 174 million head herd due to a poor currency
, lack of infrastructure and low commodity prices.
Mr Ward says the major inhibitor is the presence of foot and mouth disease, whic
h will continue to lock Brazil out of Australia's major markets of Japan, Korea
and the US.
"In terms of competing with Australia in the premium market that Australia plays
in, I don't see that," he said.

Resources industry staffing problems expected to worsen

Finding and retaining staff is one of the biggest issues facing Australia's boom
ing resources industry, according to a new study.
The People at Work report, published by the Chamber of Minerals and Energy, says
the issue is only going to get worse.
Author Bernard Salt says the problem in hanging onto staff has a lot to do with
different values between the generations.
"We have always assumed that we're the best country in the world and everyone wi
ll automatically want to come to Australia to work," he said.
Pastoralists expect to double cattle production
Northern Territory pastoralists expect to increase cattle production by 50 per c
ent within the next 10 years, according to the first comprehensive survey since
the early 1980s.
Better fencing and water points in central Australia, and improved pasture in th
e north would result in the increased carrying capacity
Pastoral extension officer Trudi Oxley says improved weaning rates also mean mor
e production.
"We came up with a weaning percentage across the NT as being 71 per cent, so for
every hundred cows there were 71 weaners pulled off them when they were mustere
d and a mortality rate around 3 per cent," she said.
Leather business suffers from impact of drought, cyclone
A leather tanning business in south-east Queensland has been dealt a double blow
.
Murgon Leather has been forced to impose water restrictions due to the drought,
while its main supplier of hides closed in the wake of cyclone Larry.
The Innisfail Meatworks will remain shut until the end of the month.
General manager James Barbeler says the leather tanning business has been forced
to cut back on staff and production.
Sheep's temperament has impact on reproductive rate
'Crazy' sheep are more than just a nuisance in the yards - research has found th
ey are are also less fertile and less productive.
Dr Alex Ball of Sheep Genetics Australia is looking at the impact of temperament
in trials on his property at Armidale in New South Wales and elsewhere across A
ustralia.
He says a nervous temperament can have an impact on how well sheep reproduce.
"We have just been basically tagging animals be they crazy or calm and what it h
as had is impacts on reproductive rate," he said.
"So we know our own crazy ewes they are probably rearing 20 to 30 per cent less
lambs and that's mirrored by some very good research in Western Australia.
Victorian takes out young auctioneers award
A 24-year-old Victorian auctioneer has won the National Young Auctioneers Champi
onship.
Adam Mountjoy from Mansfield in Victoria's Alpine region received the highest sc
ore after being judged on diction, presentation and manner during a sale of four
steers at the Sydney Royal Easter Show.
He says it is very rewarding after working so hard to prepare for the competitio
n.
"Just going through previous videos and competitions that have been held and I g
uess analysing and picking out the good points and some of the better things to
do or try, and do on the day," he said.
Farming grants to aid environmental projects
The Federal Government wants to give farmers cash incentives to encourage them t
o carry out environmental improvements on their land.
Agriculture Minister Peter McGauran has set a deadline of 2008 to implement the
scheme, which he says will improve the environment and lift farm productivity.

Mr McGauran will not say how much the plan will cost but says the National Farme
rs Federation's call for a billion dollars in compensation is well off the mark.
"No where near in the ball park but before we lock ourselves into positions why
don't we find a way forward," he said.
"We'll fund some pilot projects and I'm glad to say the states are showing some
interest and a number are showing strong support.
"If we work cooperatively we'll find a way to strike the balance between conserv
ation or environment and production."
The NFF has welcomed the announcement, and says the scheme should not be viewed
as a cash handout or production subsidy.
President Peter Corish says farmers manage 60 per cent of Australia's land and d
eserve to be rewarded for their environmental works.
"Farmers are asked to manage that native vegetation at their own cost and we bel
ieve firmly if the community wants to maintain that native vegetation, certainly
that farmer should be rewarded for managing that," he said.
Court postpones decision on AWB 'apology' document
A decision on whether AWB's so-called 'apology' document should be made public h
as been postponed until late April.
This morning the Federal Court ruled it would allow further evidence from AWB su
pporting its claim of legal professional privilege.
The document was initially provided to the Cole inquiry along with other evidenc
e prepared by AWB company secretary Dr Richard Fuller.
A draft apology, it was written by former managing director Andrew Lindberg, aft
er a US-based public relations specialist advised AWB to over-apologise, to try
to counter any corporate scandal relating to the oil-for-food program.
At this morning's hearing, the Federal Court heard AWB would provide a second wi
tness statement testifying the apology was prepared as part of lawyer-client mee
tings and as such should remain confidential.
AWB also questioned the power of Commissioner Terence Cole to make any rulings a
round lawyer-client confidentiality, an issue disputed by lawyers acting on beha
lf of the commission.
A full hearing has been adjourned until April 24.
Meanwhile another two senior staff members have resigned from AWB.
Yellow leaf curl virus outbreak hits tomato growing region
There has been a confirmed outbreak of the tomato yellow leaf curl virus in one
of Australia's major tomato growing regions.
Plant biosecurity officers are in Bundaberg in south-east Queensland to increase
surveillance and identify the spread of the virus, discovered in a backyard gar
den.
The disease was only recently detected in Australia, near Brisbane and can stunt
plant growth and slash production.
Hydroponic grower David Da Tra says growers need to keep the virus carrier at ba
y.
"Just hoping we can control or minimise the vector which is the silverleaf green
house," he said.
Horticulture industry suppliers on notice to cut costs
Suppliers of materials, machinery and other goods to the horticulture sector hav
e been placed on notice to cut costs to growers.
Fruit and vegetable growers have launched a class action against cardboard box m
aker, Amcor, seeking up to $300 million compensation over alleged price fixing o
n packaging.
They claim 17,000 growers and some major food manufacturers were overcharged mor
e than $700 million for boxes and pallets.
Mike Badcock from grower group Ausveg says growers are now looking at costs acro
ss the sector.
"It seems quite suspicious doesn't it. America, the fuel price is only half what
we pay in Australia, to put a pivot irrigator up in America, it costs you betwe

en a third and half what it costs to put one up in Australia, fertiliser is a lo

t cheaper in new Zealand," he said.
"We've really got to get to the bottom of a lot of these things in Australia and
find out why it's costing us more to farm in Australia."
Despite claims farmers are losing bargaining power, a new report says selling pr
oduce under contract does not place growers at the mercy of big business.
The report, commissioned by the Australian Farm Institute, says there has been s
ubstantial growth in the level of farm produce sold on the contract system and p
rices are not necessarily falling.
Report author Mark Barber says it depends on the farmer.
"It opens up all sorts of new opportunities and some farmers will benefit more t
han others from this," he said.
Riverland citrus growers locked out of Indonesian trade
Citrus growers in South Australia's Riverland have been locked out of selling fr
uit to Indonesia despite being free of fruit fly.
Australia's $35 million fruit and vegetable trade with Indonesia is at a standst
ill because of new import protocols designed to address fruit fly concerns.
The Riverland's fruit fly-free status is recognised by other Asian markets like
Japan and Taiwan but not by Indonesia's newly imposed quarantine protocols.
Judith Damiani from Australian Citrus Growers says it is an important market.
"It's not one of our largest markets in terms of volume or value but we do send
quite a significant amount of mandarins and valencias as well," she said.
Dairy Farmers restructure goes ahead despite profit
Despite posting a half-year profit of $4.7 million, the Dairy Farmers Co-operati
ve will push on with a restructure involving the closure of four plants.
The Bomaderry factory, in the south-east of New South Wales, shuts down today, w
hile the Toowoomba plant, in southern Queensland, will close by the end of this
month with the loss of 12 full and part-time jobs.
Chief executive Rob Gordon says changes across the business are expected to save
$42 million a year.
Locusts swarm across WA wheatbelt
Locust plagues are emerging as a big concern for winter crops in Western Austral
ia this season.
Locusts have made their way from the wet pastoral regions into agricultural area
s, with farmers now reporting locusts swarms across the wheatbelt.
Senior entomologist with the Department of Agriculture Kevin Walden says the gre
en feed in the agricultural regions could help locusts survive for weeks.
"We're likely to see these locusts surviving into May but by the time the female
s are completing their cycle, then numbers will drop off very quickly," he said.
"But, as I said, if the break of the season's early, then there may be a bit of
an overlap between crops emerging and locusts still flying around.
Arid zone research group research to focus on desert areas
Pastoralists and researchers from around the country have taken the first step t
owards creating a new arid zone research group.
The group will work independently of state and territory organisations, focusing
on problems that affect pastoral production in all desert areas.
Mark Ashley from the 21st Century Pastoral Program says initial research will fo
cus on reducing input costs and improving technology for the wool and beef indus
tries.
"As it stands at the moment most of the state agencies are focused with their pa
rticular industry," he said.
"A lot of these issues are big issues, they go across state boundaries.
Weather blamed for hike in fish prices
Fish prices in Melbourne have jumped by up to 20 per cent in the lead-up to East
er.

An unusually high number of low pressure systems with high winds have kept many
small fishing boats off the water.
Ross McGowan from Seafood Industry Victoria says the smaller boats catch most of
the fish bought by restaurants and which are also popular at Easter.
"They generally catch the fish that end up in restaurants and the Victoria marke
t for example," he said.
"Whiting, flathead, mullet, the whole range of snapper of course.
"They're the sorts of fish the bay and inlet fishermen catch, including calamari
.
Pasture shortage limits cattle feedlot expansion
A shortage of pasture in some provinces of Indonesia is limiting the expansion o
f small community cattle feedlots.
Rather than feed grain, villagers rely on leucaena, legumes, kapok and even bana
na stems and leaves.
It can take up to 12 months to fatten cattle in this way for the lucrative Jakar
ta market.
Researcher Maximilian Kapa says one feedlot can support up to 15 remote families
in West Timor.
"It is a very good market, especially the Jakarta market," he said.
"Actually the farmers here cannot fulfil the market demand because there is a tr
end that the population of Bali cattle declines here every year due to uncontrol
led breeding and minimised management like that.
I didn't see rorts cables: Howard
Prime Minister John Howard has told the Cole inquiry he does not believe he rece
ived or read any cables that warned AWB was involved in sanctions-busting.
Mr Howard was under tight security when he arrived at the commission to explain
when he first knew about AWB's improper payments to the Iraqi regime.
Blocked-off streets, bag searches and sniffer dogs greeted those who entered cou
rt two on level five of the building ahead of the Prime Minister's long-awaited
appearance at the Cole inquiry.
The Prime Minister spent a brisk 42 minutes in the witness box.
When senior counsel assisting, John Agius, asked him to put a date on his knowle
dge that the Iraqis were rorting the oil-for-food program, Mr Howard said it was
probably a year before a speech he gave on Iraq to the National Press Club in M
arch, 2003.
When asked if he knew AWB was involved in that rorting, Mr Howard replied: "No,
I didn't. I had always believed the best of that company. It would never have cr
ossed my mind it would have behaved corruptly."
Commissioner Cole refused any cross-examination of the Prime Minister, saying it
was outside the terms of reference.
Petition
Meanwhile a petition supported by some of the leading lights in the legal profes
sion is calling for a widening of the inquiry's terms of reference.
Lawyers, barristers and academics from the University of New South Wales say AWB
and the Federal Government may have violated international law by allowing brib
es to be paid to Saddam Hussein.
Petition leader Ben Sawell says it is now clear the powers of the Cole inquiry a
re too narrow.
"There is a great deal of concern in the legal profession about the conduct of t
he Australian Government in all of this business of the oil-for-food scandal," h
e said.
Wine grapes dumped as oversupply woes hit growers
Tens of thousands of tonnes of Riverland wine grapes will be dumped on the groun
d or left to rot on the vine this season because of the national oversupply.
The South Australian growers have been left with no market for their fruit after
some had contracts suspended, while others were not able to renew their agreeme

nts with wineries.

The region's lost income could total $65 million.
Loxton grower Glenn Arnold says the situation is desperate.
"We're just trying to survive," he said.
"Everybody says there's swings and roundabout and you know good times are follow
ed by bad times, bad times are usually followed by good times ... we've just got
to hang in there.
WA wine producer secures large UK contract
Palandri wines of Margaret River in Western Australia has just secured the
's single largest export ever into the United Kingdom.
Eighty thousand cases will go to 1,800 British supermarkets.
Palandri's Gordon Grant says WA is being recognised as producing a unique,
ty wine for under $24.
He says the contract is significant for bulk producers of generic wines.
"It's really starting to gain ground, the buyers in particular are staring
e Western Australia as something very different to the other material they
got on their shelves," he said.

state
quali
to se
have

Farmers environmental grant 'pork barrelling'

The Federal Government's plan to pay farmers to better manage the land has been
labelled a "veiled production subsidy" and a "pork barrel" by a Canberra think t
ank.
Agriculture Minister Peter McGauran wants to give farmers cash payments to bette
r protect the land and lift their productivity.
He believes farmers are carrying an unfair share of the costs of managing the en
vironment and should be rewarded for carrying out projects which benefit the ent
ire community.
But the Australia Institute's Andrew Macintosh says the Government has a poor re
cord of delivering environmental projects and in allocating funding to regional
areas.
"What we've seen with the Natural Heritage Trust is that the program's turned in
to a massive pork barrel that's dressed up in green clothing and that's my big f
ear with this," he said.
Mr McGauran says the program will not become a spending black hole and denies th
e proposed payments would become production subsidies.
Paying more for early child care an option, says association
Regional Australia is having to think creatively to overcome shortages of childc
are places and funding.
Cost and access are still big problems for many farming families who now rely on
a second income to make ends meet.
Lynne Wannon, from the National Association of Community-based Childcare Service
s, says both parents and governments need to consider paying more for early chil
dhood care.
"There are different models around, there are mobile services where they have ou
treach programs," she said.
"A van will go out into a farm community and children can come there but they mi
ght only get one day a fortnight of a program.
Easter gifts may post disease risk: AQIS
The Australian Quarantine and Inspection Service (AQIS) is warning that Easter g
ifts from overseas, such as painted or blown eggs, could spread bird flu to huma
ns and birds.
Carson Creagh from AQIS says the service will seize hundreds of "at risk" items
this weekend including eggs, feathers and nests made of dried grapevines, and st
raw.
He says many come from Eastern Europe or the Mediterranean and could introduce b
ird flu, Newcastle disease or other viruses capable of devastating Australia's p
oultry industry.

"The obvious one is avian influenza which can be transmitted on eggs," he said.
Croc captured in Katherine main street
While the floodwaters are subsiding in the Northern Territory, it is taking long
er to remove the visiting wildlife.
Last night, a metre-long freshwater crocodile was captured in the main street of
Katherine
And at Mataranka Homestead, a hundred kilometres south, Deborah Moore says her p
lace has become an ark.
"There's lots of kangaroos and peacocks and snakes and quite a few crocodiles ar
ound as well," she said.
Priority scheme in place for dwindling Q fever vaccine supplies
Meatworkers will be given priority access to the last remaining doses of Q fever
vaccine to protect against the debilitating disease that is spread to human thr
ough contact with infected feral and domestic livestock.
This year's demand for the vaccine is expected to exceed current supplies, and f
resh stocks cannot be produced until a new lab opens early next year.
Dr Rachel David, from CSL Pharmaceuticals, the only company in the world that ma
kes Q Vax, has now set up a scheme to reduce the impact of the looming shortage.
"We've put in place a prioritisation system so that people involved directly in
meat processing will be able to contact CSL and get access to the vaccine as a p
riority," she said.
Abattoirs given green light for halal beef exports to Malaysia
Three Australian abattoirs, one in Queensland and two in Victoria, have been giv
en approval to send halal beef back into the Malaysian market.
Last August, Malaysia suspended beef imports from Australia due to concerns that
slaughter methods do not meet Islamic standards.
The general manager of Norvic Foods, Jon Hayes, says approval was received to re
sume beef exports from the company's Wodonga abattoir after religious and techni
cal auditors inspected the site.
"Malaysia is only taking a very small percentage of the Australian beef and it's
another market that Australia needs," he said.
"We can't consume what we produce for 20 million people and we need the total gl
obal scene, and Malaysia is a very important market."
Shareholders vote not to rebuild Norply factory
The Kyogle community, on the New South Wales north coast, has had its worst fear
s confirmed with Norply Timbers deciding not to rebuild its factory after a fire
last year.
Up until last September's devastating fire, the Norply factory employed about 14
0 people, making it one of the most significant employers in a town with a popul
ation of 4,000.
There were hopes that the company would eventually rebuild on its existing site
but those have now been dashed.
Norply's 30 shareholders met earlier this week, when a majority voted to declare
a dividend rather than rebuild the mill.
Little central Aust critter becoming a popular pet
It might not be the Easter bunny but a little critter from central Australia is
proving a hit in the Top End.
The spinifex hopping mouse has become a popular pet in Katherine.
And as vet Sam McMahon explains, you cannot cuddle them, but with their big eyes
, kangaroo legs, and basil brush tail, they are great to watch.
"They're a very interesting pet, they can live quite happily in you know a reaso
nable sort of set up," he said.
"And they're very interesting to watch. They dig holes, they dig tunnels, they b
ound around, they're quite interesting to sort of sit there and stare at.

Govt calls for Q fever vaccine tenders

The Federal Government has called for tenders to produce Q fever vaccine as supp
lies of the drug reach critically low levels.
Q fever is a debilitating disease which mainly affects meat and livestock worker
s, and is transmitted through infected animals.
Though the tender process should be completed by next month, the Government says
it is unlikely a new supplier will be found in time to prevent a vaccine shorta
ge.
Agriculture Minister Peter McGauran has criticised CSL for ending production and
bulldozing the vaccine plant.
"The Government has called for expressions of interest for a tender to produce l
ong term supplies of Q [fever] vaccine, it may well be that CSL will be a tender
er but there may be other companies as well," he said.
Key witness to front Cole inquiry
The Cole inquiry examining AWB's role in the oil-for-food scandal has been adjou
rned to a date to be fixed after hearing evidence last week from John Howard, Al
exander Downer and Mark Vaile.
But there is at least one key witness still to come.
With public hearings all but finalised before Easter, senior counsel assisting J
ohn Agius informed Commissioner Terence Cole he would require him to sit again f
or several days after Anzac Day.
Mr Agius told the inquiry he was making arrangements for a witness to appear bef
ore the commission.
He later confirmed that witness to be Felicity Johnston, who worked for the UN's
Office of Iraq program.
Mr Agius says the commission has obtained clearance from the United Nations but
is still going through necessary protocols with the British Foreign Office.
Extreme weather events affecting rural commodities outlook
Cyclones and hurricanes continue to affect the outlook for rural commodities acr
oss mining, wheat and sugar markets.
The latest Commodity Price Index from the National Australia Bank is predicting
a slight easing in rural prices over the next two years, with sugar, beef, wheat
and cotton all expected to perform well.
Agribusiness economist Skye Dixon says extreme weather events have a big affect
on rural prices.
"They do certainly have an impact because so much of rural commodity prices is d
erived from what's happening with supply," she said.
NSW drought worsens
New South Wales is slipping further back into drought, with 46 per cent of the S
tate now drought declared.
That is up eight percentage points on last month.
Only 20 per cent New South Wales is considered satisfactory for rainfall.
But the State's Primary Industries Minister, Ian Macdonald, says despite worseni
ng conditions, farmers are optimistic about a bigger winter crop than last year.
"The State needs widespread rain particularly in the north but also many areas i
n the south-west which are major cropping regions need a good downpour fairly qu
ickly," he said.
Tomato plant virus spreading
There is confirmation today that the tomato yellow leaf curl virus is spreading
in one of Australia's major production areas.
The virus stunts tomato growth and drastically limits yields.
Discovered for the first time in Australia a couple of weeks ago in Brisbane, it
has now been identified on two commercial properties near Bundaberg.
Inspections are being planned in other Queensland tomato growing regions.
Chris Adriaansen from the Department of Primary Industries says it is proving di
fficult to trace the origin of the virus.

"This is what we're finding as we're going through all the properties that we're
getting positive diagnosis on - there's no common linkage in terms they're not
using the same supply of seedlings, they're not using the same supplier of anyth
ing, there's no other linkage," he said.
Protesters vow to continue gold mine protest
Environmentalists are continuing to picket a New South Wales gold mine over the
use of cyanide, which they claim will permanently poison the local water supply.
The Lake Cowal open pit mine, in the state's central west, began processing rece
ntly but operations were shut down yesterday and a delivery of cyanide has repor
tedly been delayed.
Eight protesters have been charged with trespassing but Graham Dunstan from Cyan
ide Watch says the protest will continue until the mine is closed.
"This mining company has been granted water leases by the NSW Government to pump
up 3,650 megalitres a year for this cyanide operation," he said.
"They leave this water behind permanently poisoned. Now in a time of drought giv
ing people the equivalent of a Dubbo's water supply each year is profligate."
Search for grapevine genome moves a step closer
An Italian team of scientists has produced the world's first draft of the grapev
ine genome sequence.
The work, on the pinot noir variety, could lead to the development of high yield
ing, disease resistant grapes that still make good tasting wine.
Project leader with CSIRO Plant Industries, Doctor Mark Thomas, has been in clos
e contact with the Italian team and says it is an important step towards the fin
al grapevine gene map.
"Once the genome sequence is completed it will be the foundation I think for 21s
t century grape research as it will allow us to understand what genes are involv
ed in grape quality and those genes that also control fruitfulness and yield," h
e said.
In Australia, the CSIRO has been working with a group in France trying to isolat
e the genes responsible for powdery mildew resistance and downey mildew resistan
ce.
Growers satisfied with grape prices
Riverland grape growers who supply to wine giant McGuigan Simeon say they are sa
tisfied with the fruit prices determined by an independent analyst.
The analyst was called in after a dispute arose over prices for grapes, many whi
ch had already been delivered to the winery.
Chris Byrne, from the Riverland Wine Grape Growers Association, says growers had
been expecting to receive the lowest price.
Floodwaters affect search for banana prawns
Floodwaters and muddy river sediments are making it hard for trawlers in the Gul
f of Carpentaria this season.
The banana prawn harvest began on Saturday, across the northern fishery.
Newfishing Australia's Steven Valentine says the fleet is being forced to use de
pth sounders to find the prawns.
"With the water clarity not being as it is - not very good, due to the mud slick
- and we can't spot the mud boils, boats are having to rely heavily on their so
unders, which means we don't cover the area quite so efficiently," he said.
"So it's been a pretty slow start to the season.
"Traditionally we road freight them out of Karumba. But, at the moment, with all
the roads closed, we haven't got anywhere to send them to.
"Hopefully within the next four to five days, the rivers will drop enough so tha
t the roads will be open and we can truck prawns out."
The Newfishing Australia fleet is hoping to catch up to 60 tonnes of banana praw
ns per trawler this season.
Bureaucracy to blame for closure, scallop fisher says

Tasmanian scallop fishers say they are fed up with a bureaucracy that has locked
them out of the Bass Strait scallop fishery for the past six years.
Now the Federal Government says the fishery will remain closed for another three
years.
Scallop fisherman Peter Stegmann says scientific advice showed a limited season
was viable and blames overlapping Commonwealth and state fishing jurisdictions f
or the problem.
He says part of the $220 million earmarked for industry restructure should be sp
ent sorting out the mess.
Study to focus on abalone habitat
A study on abalone habitat is about to get under way in south-west Victoria.
The information collected will be used to ensure the industry is managed sustain
ably.
Harry Peeters, from the Western Abalone Divers Association, says aerial imagery,
sonar devices and underwater video will be used to help scientifically describe
the seabed.
"Australia has one of the last sustainable wild catch abalone industries in the
world," he said.
"Most of the others have been fished to extinction.
Nurseries to encourage kids to garden
The nursery industry is setting out to re-educate Australians about how to garde
n.
Market research has found gardening is losing market share from changing lifesty
les, bigger houses, smaller gardens and a loss of skills.
The industry is fighting back and will soon launch a KidsGrow program, where loc
al nurseries can work with schools to encourage children to garden.
Jenny Lambert, from the Nursery and Garden Industry Association, says gardening
has social, educational and environmental benefits.
"The industry is concerned that the strength of the communities knowledge about
gardening has dropped over the years and we're worried about where the next gene
ration of gardeners is coming from," she said.
Global oil prices continue rising
Global oil prices continue to climb to record heights as Australia's grain growe
rs prepare for this year's planting season.
Last night New York benchmark crude oil closed at more than $US70 a barrel for t
he first time in 23 years of trading.
Commodity analyst Tobin Gorey says running costs and fertiliser prices will rise
further but there could be more demand for wheat and canola to make replacement
biofuels.
"The costs are actually higher so people need to be compensating farmers and so
on for producing it so it is profitable otherwise they won't stay in the busines
s," he said.
"But the other side of that too is that demand for things like ethanol or biodie
sel that creates further demand for oilseeds and grains as well.
"Perhaps that can also help boost the prices and is perhaps already influencing
markets now to a small degree."
The combination of rising fuel and fertiliser costs is cause for concern for man
y farmers.
Graingrowers in South Australia's Mallee told Kerrie Lush cutting back on croppi
ng is not an option and they are looking at other ways to reduce costs.
"We're certainly not cutting back on any acreage we're sowing but David's certai
nly going to try and do as much direct seeding without working up anything to sa
ve a bit of fuel that way," Val Gibbs from Wunkar said.
She says fertiliser prices are also far more expensive than last year.
"We have trialled putting zinc on through seed dressing instead of through ferti
liser so that saves a bit of money that way."

Call for bureaucrat or MP to act as AWB 'moral conscience'

The Queensland Nationals are calling for changes at the top of AWB to help prote
ct the single desk for wheat exports.
Member for Hinkler Paul Neville wants a bureaucrat or government MP on AWB's boa
rd to act as its "moral conscience" to stop future kickback controversies.
Mr Neville says the appointment would prevent questions over AWB's integrity if
it retains the single desk.
"It's important that its probity be above any form of suspicion," he said.
"For that reason I'd be more comfortable if we had a government appointee or som
eone from the public service on that board."
Meanwhile tough international wheat marketing conditions have been reflected in
AWB's first payment to growers from the 2005-06 national pool.
The dividend of just over $30 per metric tonne for Australian premium white (APW
) grade wheat represents just 16 per cent of the total price growers can expect
to receive.
Tony Smith from Plumgrove Commodity Trading says first payments are usually much
higher but buyers are not prepared to pay higher grain prices.
Poppy grower contracts slashed
Pharmaceutical company GlaxoSmithKline has slashed Tasmanian poppy grower contra
cts by 90 per cent.
Almost 500 poppy growers supply seed to the company with the lost contracts wort
h between $10 million and $12 million.
The company says there is a depression in world market prices and continuing ove
rsupply.
Company researcher Dr Mike Doyle says the extraction plant will continue to run
on existing stocks although the crop reduction will be for only one year.
Fruity fly precautions stall fruit, vege exports to Indonesia
Fruit and vegetable exports to Indonesia remain at a standstill, after the intro
duction of new import protocols to prevent an outbreak of fruit fly.
Exports of grapes, citrus, apples and pears are worth $35 million, but the Austr
alian Quarantine and Inspection Service says it has not issued any export permit
s on products affected by the new protocols, since they were imposed two weeks a
go.
Australian growers say the conditions of spraying and inspection make exports to
Indonesia uncommercial and is an effectively a ban on their produce.
A trade official was dispatched to Jakarta last week, and the Federal Government
has now asked Indonesia to urgently revert to the previous import protocol.
Federal Govt funds target sugar industry
The Federal Government has handed over $36 million in the latest round of sugar
industry reform.
Bundaberg Sugar will build a fertiliser production plant at its Tableland Mill,
while the Proserpine Cooperative Sugar Milling Association will construct a plan
t to make a chemical from a cane by-product.
WA bananas sent east
A small number of Western Australian bananas have been sent to the eastern state
s after a sharp drop in demand.
After cyclone Larry destroyed the Queensland crop, WA growers vowed to stay loya
l to their local customers.
But with bananas selling for about $6 a kilogram, shoppers decided to leave frui
t on the shelf.
Kevin Leahy from Carnarvon's Sweeter Banana Co-operative says sending fruit east
will not become a regular practice.
"A lot of bananas came in from Queensland that had come down obviously with the
cyclone, they cleaned them up and sent them over and there was no demand," he sa
id.

Push on for higher capital gains tax threshold

There are calls for the capital gains tax (CGT) threshold to be lifted to at lea
st $10 million to protect farmers.
Combined assets worth more than $5 million mean farmers cannot access small busi
ness concessions on the tax.
It is starting to hit farm families when they try to expand, relocate or retire,
because of rising property prices.
South Australian accountant Peter Hayes is part of a group that is lobbying fede
ral politicians to increase the threshold, which has not changed for seven years
.
"One client of mine wanted to relocate and their combined assets were in the ord
er of $6 million, so they didn't comply with the CGT small business threshold an
d for them to move was going to cost them $1 million in tax," he said.
Canada records 5th mad cow case
Canada has confirmed its fifth case of mad cow disease.
But it is unlikely to cause further trade restrictions with the United States.
US Agriculture Secretary Mike Johanns says he expects no change in imports of Ca
nadian beef and cattle under 30 months, after mad cow disease showed up in a six
-year-old British Columbia dairy cow.
But Greg Doud, with the National Cattlemen's Beef Association, says based on the
cow's age there is a concern over the effectiveness of Canada's ban on feeding
cow parts to cows, thought to spread the disease.
"Having the second animal that seems to be after the feed ban went into place in
August of 1997... does seem to suggest that there is a feed ban compliance issu
e," he said.
The US resumed imports of younger Canadian animals and their meat last year, but
still prohibits trade in older ones.
Mutton making comeback in UK
If you thought mutton was a cut of meat that went out with the war years and the
depression, think again.
Sheep producers in the UK have started a Mutton Renaissance Club to improve mutt
on's image, which could increase Australia's already booming export market.
John Thorley from the UK National Sheep Association says they have had a lot of
help from their high profile patron.
"Most people had given up on mutton a long, long time ago and then one or two pe
ople, his Royal Highness Prince Charles particularly, decided it was time we mov
ed this thing on a bit," he said.
Govt looks to hot rocks power potential
The Victorian Government hopes hot granite rocks found underground will become a
new source of green energy.
The rocks heat water pumped into the ground, turning it into steam, which is the
n used to create power.
The State Government has released 31 exploration permits across the state.
Oil industry consultant Terry Donohoe says the interest in hot rocks as a source
of geothermal energy is growing.
"We know that Japan has got hot rocks and no other form of energy so the Japanes
e are very interested," he said.
"Also of course in South Australia, and recently the Queensland Government let o
ut some exploration permits.
Urban dog owners take lead in sheepdog trials
City dog owners are starting to replace retired farmers on the sheepdog trial ci
rcuit.
The experts say they have noticed a big change, with city pet owners more intere
sted in putting their dog and three sheep through an obstacle course, than compe
ting in a traditional dog show.
Seven-time Australian representative Malcolm Taylor says while sheepdogs are bei

ng used less on the land, their popularity in the cities is growing.

"But I think the future for dog trialing is going to alter quite a bit and you'l
l see far more city dwellers that'll have a working dog in the city," he said.
Iraq finalises wheat purchase
The Iraqi Grains Board says it has finalised a $100 million wheat purchase from
Australia after almost two months of negotiations.
Although the three companies selling the wheat say they have not yet signed a co
ntract, the Grains Council of Australia believes terms have been agreed.
The head of the Iraq Grains Board Khalil Aassi has told reporters the country wi
ll buy 350,000 tonnes of wheat at $190 a tonne from the Wheat Australia consorti
um.
The deal was brokered by Trade Minister Mark Vaile, who visited Baghdad in Febru
ary to save the Iraq wheat trade, after it announced it would no longer deal wit
h monopoly exporter AWB because of the oil-for-food kickbacks scandal.
The deal with Wheat Australia, which includes ABB, GrainCorp and Cooperative Bul
k Handling, breaks AWB's hold over wheat exports.
But the Grains Council's David Ginns says the deal will not be a lucrative one.
"As we know, time costs money and they certainly spent a lot of time and money o
n finalising this deal," he said.
Australia has traditionally supplied around a quarter of Iraq's wheat, making it
Australia's third largest wheat market.
Critical months
Wheat exporter AWB says the next few months are critical for the global grain ma
rket, as weather conditions determine the size of the world crop.
Australian growers have already received a lower than expected return on the 200
5-06 crop, largely due to fluctuating demands for hard wheat varieties and tough
international marketing conditions.
And general manager of AWB International, Sarah Scales, says global demand remai
ns subdued.
"I think the next couple of months are very critical, I think it's make or break
as far as the world wheat market goes for the next 12 months, depending on part
icularly rain conditions in the hard red winter wheat belt of the United States,
" she said.
Graincorp to close 100 silos
Grain handling company Graincorp has confirmed it will close around 100 silos in
the eastern states as part of a company restructure.
As the major grain handler for the eastern states, Graincorp currently maintains
320 silo sites but now plans to close almost a third.
Queensland will lose 23, Victoria 32, with 38 to go in New South Wales.
Workers at the silos were told about the closures yesterday, but were also told
their jobs were safe.
Graincorp says the changes are in line with what growers want, which is better r
ates on rail services and a trend to using larger full-service silos.
Rodeo organisers in Tasmania say they will not call off a national titles compet
ition this weekend despite vandals destroying an arena.
Only days ago the power box at the Harveydale Rodeo Arena was smashed to pieces
and some time in the past 48 hours vandals entered the private property with wir
e cutters and shredded the perimeter fence.
Rodeo Tasmania claims the offenders were people driven to action by a high-profi
le campaign against rodeo's in recent times.
That campaign has been spearheaded by Against Animal Cruelty Tasmania, which say
s it had nothing with the vandalism but concedes their campaign may have spurred
others into action.
"The public see what goes on at events they wouldn't normally go to but somebody
out there may have been compelled to take direct action after they've seen dist
urbing footage that we've ween on television," spokeswoman Emma Haswell said.

Money flows at Easter yearling sales

The Easter yearling sales in Sydney have had a record $43 million opening day.
Seven horses sold for more than $1 million each, with a top price of $2 million
for a colt by Redoute's Choice.
The horse will be trained by David Hayes in Victoria.
Jonathon Darcy from William Inglis and Son says the buoyant world economy has se
en an increase in overseas buyers.
"The strength of the stock market in both Tokyo and in Hong Kong has really driv
en this in the last 12 to 18 months," he said.
"Five years ago both of those economies were under a fair bit of pressure follow
ing the SARS outbreak.
Feed running low on stock routes
The long paddock is getting crowded around Narrabri, in north-west New South Wal
es, where 25,000 head of livestock are searching for feed on the stock routes.
Twelve thousand cattle and 13,000 sheep have been on the road in recent weeks, w
ith the routes almost at full capacity.
Jamie Maddox from the Narrabri Rural Lands Protection Board, says it will be a h
arsh winter for many graziers already short of feed and water.
"We received some good late January/early February rain, which gave us a good bo
dy of feed but it's almost all disappeared now and it's certainly becoming dry,"
he said.
"A few dams in certain areas are drying up quickly and becoming boggy.
'Pressure on negotiators' to secure better market access
Sheepmeat producers are confident their latest round of talks with the European
Commission will lead to a bigger slice of the export market for Australia.
Industry delegates have met with EU commissioners in Brussels to push Australia'
s case ahead of world trade talks later this month.
Ian Feldtman from the Sheepmeats Council says the pressure is now on trade negot
iators to clinch a deal.
"The message we're giving to our Government is that the decisions that are made
during this round is something that our industry is going to have to live with f
or at least the next 10 years," he said.
Aust to increase agricultural aid to East Timor
Australia's direct involvement in rebuilding East Timor with agricultural aid is
set to increase.
The Australian Ambassador to East Timor says more than $40 million will be inves
ted in aid this year, with agriculture representing $1.5 million.
Margaret Twomey says a new proposal aims to improve water harvesting and sanitat
ion for remote communities across the rugged nation.
"And we are now in talks with the Government and specifically the Prime Minister
about a much bigger, more ambitious program, that would last up to 10 years, co
st somewhere up to $50 million, to get clean water and sanitation to 80 per cent
of the people in this country," she said.
Texas weather could impact on Aust cotton prices
Prolonged dry conditions in the American state of Texas could see a lift in cott
on prices in Australia.
A global oversupply of cotton and the high Australian dollar are hurting returns
for growers at present, with prices well below $400 a bale.
But Cliff White from Queensland Cotton says if the situation in the United State
s deteriorates, prices for next season could rise above $430 a bale.
"I think it's difficult to see significant change to current crop prices, howeve
r over the next few weeks attention is going to be turning more so to the new cr
op production prospects in the northern hemisphere and at the moment there are o
ne or two concerns on the horizon," he said.
Fruit fly outbreak could affect Tas market access

A fruit fly outbreak has been detected at the Northern Territory's largest table
grape producer.
The central Australian town of Ti-Tree reported an isolated outbreak last month
but recent tests now show the pest has spread to nearby Territory Grapes.
Horticulture advisory officer Geoff Kenna says the finding could affect market a
ccess to Tasmania.
Apple packhouse set for $2m upgrade
Australia's biggest apple packhouse is launching a multi-million dollar upgrade.
Federal Agriculture Minister Peter McGauran will unveil the $2 million upgrade o
f the Batlow Fruit Co-operative in southern NSW which features Australia's first
automatic blemish sorting system for apples.
The technology has been imported from New Zealand and second grade fruit is iden
tified electronically and then removed from the premium packing line.
It is expected to increase its efficiency.
The grower-owned co-operative was established in 1922 and produces 6,000 bins of
apples each year.
The district's growers are suffering after prices fell last year under the weigh
t of a big crop and imported apple juice.
It is well recognised that the gap between city-slickers and their country cousi
ns is growing.
But farmers are out to restore their image by holding a National Farm Day next m
onth.
Victorian wool producer Debbie Bain says farm gates will be opened to city peopl
e to help them better understand decisions made on a working property.
"If we have somebody up here and we are bringing sheep into drench them, why do
we give them these chemicals? We're shoving these chemicals down their throats,
what for?" she said.
"But when you explain about worm burden and and the detrimental [effect] that wo
rms have on sheep, they'll suddenly understand a little bit more about chemical
use in animals."
Drought program speeds up aid applications
Farmers will get faster access to drought assistance under new changes unveiled
by state and federal agriculture ministers today.
They are the first in a raft of drought assistance changes farmers hope to see o
ver the next six months.
The National Agricultural Monitoring System (NAMS) is expected to slash the time
it takes to gather the information farmers need to lodge a drought assistance a
pplication.
It will provide instant online rainfall, soil moisture, crop yield and commodity
price information, streamlining contact between farmers and local, state and fe
deral governments.
Vice-president of the National Farmers Federation (NFF) Charles Burke says there
needs to be fundamental change to the way drought assistance is delivered but t
his is a positive first step that will help farmers.
"It'll really give an overall picture of say one particular region and how it's
performing in a drought," he said.
Money laundering law changes 'draconian'
Rural bank branches and agencies could be under threat from proposed changes to
federal money laundering legislation.
While the laws are designed to target organised crime, a report by the Chartered
Secretaries of Australia says it will be too hard for many smaller bank agencie
s to comply.
Chief executive Tim Sheehy says banks will need to have personal contact with cl
ients, there will be changes to identification requirements and big fines.
"They are draconian, they're unfortunately a one size fits all approach," he sai
d.
"The way that the proposed legislation is, there's no difference in penalties fo

r a fairly minor transgression or a major $10 million one if you're an agent.

"[When] you're faced with the risk of a major penalty for a small error, you're
probably going to pull out of the business."
Truck drivers 'living below poverty line'
New research shows the families of truck drivers are suffering from record fuel
prices, drought and long working hours.
More than 70 per cent of the nation's transport fleet is made up of small operat
ors and the report by the Transport Women of Australia Association says tough ti
mes are being felt everywhere.
Spokeswoman Pam McMillan says the study backs up anecdotal evidence.
"We did find that some operators are living below the poverty line and more than
what we would like to consider," she said.
"They might have a nice house but perhaps can't afford to buy decent groceries e
very week and it's not that they're being frivolous, it's just that the money's
not out there.
Debate intensifies about fuel alternatives as oil prices rise
Oil prices are not getting any better with the price of West Texas crude jumping
again last night to $US72 a barrel.
As prices go up, debate is intensifying about fuel alternatives.
Bruce Robinson from the Association for the Study of Peak Oil and Gas says Austr
alia could halve its transport fuel usage by minimising its dependence on cars.
He says fuel taxes should be increased similar to the system introduced by forme
r prime minister Margaret Thatcher in United Kingdom in the 1980s.
"If we continue to provide very cheap petrol and to give excise free petrol to e
veryone and subsidise it as happens in Queensland then we are just going to cont
inue down the oil dependence [road]," he said.
"The enormous legacy Margaret Thatcher has left to Britain, she's given the pric
e signals that oil is going to be more expensive then they are not nearly so dep
endent on cheap fuel as we are."
The higher price of crude oil is causing investors to take a closer look at the
biofuels industry.
A new ethanol plant opens in the US every 10 days and around the world millions
of dollars are being poured into biofuel projects to reduce dependence on oil.
Agribusiness investment adviser Shane Kelly says Australian investors are also k
een to back a local ethanol industry.
"It's fair to say that as oil prices increase, the interest in ethanol plants ha
s increased markedly," he said.
Cyclone causes minor damage
There has been big rainfall in the wake of cyclone Monica in far north Queenslan
d.
The category three cyclone cross the north-east coast late yesterday but does no
t appear to have caused too much damage.
Cyclone Monica followed almost exactly the same path as cyclone Ingrid which rip
ped through the region about 13 months ago.
Monica hit land just south of the Lockhart Aboriginal community.
Very few commercial fishing boats were sheltering in Lockhart River's mangroves
and so far there has been no reports of major incidents.
On cattle properties in the cyclone's path the strong winds brought down some br
anches, trees, sheds and fences but overall damage has been minor.
Tom Burns manages Orchid Creek station and he says his biggest problem was findi
ng his dogs.
Wheat bug discovery prompts questions
Australian apple growers say the discovery of the wheat bug in Holland and Belgi
um raises new questions about the risks posed by New Zealand apple imports.
Biosecurity Australia is considering 34 submissions on the proposal to allow kiw
i apples into Australia.

Chairman of Apple and Pear Australia Darral Ashton says the wheat bug is endemic
in New Zealand and should be given greater consideration.
"News out of both Belgium and Holland that that wheat bug has been found and the
y are saying it arrived hitchhiking on New Zealand apples or New Zealand apple p
ackaging," he said.
"Whether that's true or not I don't know but it just highlights the concern that
one of the processes has to be fumigation because while wheat bug may not affec
t the Batlow or the Australian apple and pear industry it would sure as hell pla
y havoc on the Australian wheat industry."
New
AWB
The
as

company secretary appointed to AWB

has appointed a new company secretary, lawyer Logan Armstrong.
appointment comes after the resignations of Dr Richard Fuller and Jim Cooper
company secretaries last week.

Broadacre grain growers want more debate over herbicide

Western Australian broadacre grain growers say they will fight to keep using the
herbicide 2,4-D Ester to control summer weeds.
The Australian Pesticides and Veterinary Medicines Authority has suggested dereg
istering some forms of 2,4-D after claims chemical drift has affected other crop
s and the environment.
But farmers say they have successfully managed the herbicide for 50 years with s
afeguards to protect horticultural and agricultural crops.
Phil Patterson from the Gnowangerup area of the great southern grain belt says t
here needs to be more debate.
"Let's sit back for a minute. Ester has been around for what 50 or 60 years and
I'm getting a bit sick of these experts in Canberra trying to put their ideas on
the rest of the world," he said.
"I mean let them have a look at what was done in WA in the eighties and work fro
m there.
Better prices expected for barley growers
Barley growers in South Australia can expect slightly better prices for their gr
ain this year.
Malting barley prices will only rise by a couple of dollars but feed prices are
expected to jump by up to $25 a tonne to $170.
Lack of skilled workers limiting new water projects
Attempts to fix Australia's water shortage problems are suffering because a scar
city of skilled workers.
Delegates at a National Water Conference in Alice Springs have heard that a lack
of qualified experts is limiting the development of new water saving projects.
Chief executive of the Australian Water Association Chris Davis says the most se
vere shortages are in the science and engineering field.
"Most organisations tend to be populated by middle-aged men who are about to ret
ire in a year or two's time so we're staring down the barrel of an even worse sh
ortage in a couple of years from now," he said.
Salt interception project to benefit Murray River
A project to stop thousands of tonnes of salt entering the Murray River has just
been opened near Kerang in north-west Victoria.
The $13 million salt interception project will pump saline groundwater from Pyra
mid Creek into evaporation basins.
The salt will then be commercially harvested instead of flowing into the Murray.
Goulburn Murray Water's Carl Mather says the project will benefit both farmers a
nd the environment.
"The scheme will stop approximately 22,000 tonnes of salt reaching the River Mur
ray," he said.
Record price set for yearling at Sydney sale

The thoroughbred industry has set a new record price for a yearling at the Easte
r sales in Sydney.
South African trainer Charles Laird paid $3 million for a Redoutes' Choice colt
last night, beating the previous record of $2.5 million.
The record came as a surprise for the breeder.
It is the best ever yearling sale on Australian soil.
After two days of selling, buyers have spent $68 million on 240 lots, with the a
verage price at more than $100,000 above the previous year.
Breeder of the $3 million colt Arthur Mitchell of the Yarraman Park Stud in the
Hunter Valley agreed there was some luck needed but says breeding judgment helpe
d.
"We started to get a bit of a whisper that the few Redoutes' were going quite we
ll and we needed a stallion with a bit of size," Mr Mitchell said.
Govt's hands tied in water trading dispute
The Federal Government says it is powerless to intervene in a cross-border dispu
te which is holding up water reform.
Three states have been fined millions of dollars for failing to meet agreed targ
ets on interstate water trading.
Victoria, New South Wales and South Australia will have $10 million, $13 million
and $3 million in competition payments withheld respectively, opening up a new
row between them and the Federal Government.
South Australia and Victoria claim they are being punished for New South Wales f
ailing to agree on their trading model but the Iemma Government says it has met
all of its water trading requirements.
National Water Commission chairman Ken Matthews will not buy into which states a
re responsible for the hold-up.
"I'm not taking sides among the states, all three states have been working hard,
" he said.
But Parliamentary Secretary to the Prime Minister Malcolm Turnbull says the Fede
ral Government has no constitutional powers to end the state stand-off.
"That is the constitutional reality," he said.
Victoria and South Australia have agreed on an exchange rate system of open-bord
er trading but New South Wales is calling for a different model which takes into
account its lower security water entitlements.
Minister for the River Murray in South Australia Karlene Maywald says she is bit
terly disappointed because an agreement on water trading reform has been reached
with Victoria.
"We believe that's grossly unfair and we think that South Australia is being doc
ked $3 million when we have done everything we can to ensure that our borders ar
e open," she said.
Govt urged to buy Snowy Hydro scheme
The Federal Government is being called on to buy Snowy Hydro and keep it as a pu
blicly-owned water and power asset.
The call was unanimously made at an angry meeting of 350 people at Cooma, in sou
thern New South Wales last night, who are opposed to the joint state and federal
sell-off.
The scheme is expected to earn $3 billion if the sale goes ahead this year, but
Snowy River Mayor Richard Wallace says public ownership is much more important.
Incentives vital to NSW timber industry: Visy exec
The timber industry says regional development will suffer if tax breaks for plan
tations are scrapped in next month's Budget.
The Federal Government is reviewing tax benefits for timber plantations under th
e Managed Investment Scheme.
But the chief executive officer of Visy Industries, Harry Debney, says retaining
the incentives is vital to plans to build a second timber mill in southern New
South Wales.
"We do need a long term sustainable timber industry and the investment scheme ha

s really encouraged that softwood planting," he said.

"So I guess if the region and the country want another for example $400 million
investment in Tumut that is really fundamental to it.
GrainCorp's silos closure plan angers farming groups
Anger is mounting among eastern states' farming groups about plans by GrainCorp
to close more than 100 grain receival sites.
Some farmers say the decision will force them to travel up to 100 kilometres mor
e to deliver grain.
North-west Victorian farmer Rod Bishop says he will need to purchase another tru
ck to be able to cart grain more efficiently.
And he says others might be left with no choice but to spend hundreds of thousan
ds of dollars to set up on-farm grain storage.
"I personally don't like it that much because you have to market the grain, keep
the weevils out and all those issues come into it but you certainly couldn't di
scount doing it, that's for sure," he said.
GrainCorp chairman Don Taylor says the company will consider keeping the silos o
pen if growers can guarantee supply.
The grain handler has closed most sites which process less than 5,000 tonnes of
grain.
Mr Taylor says GrainCorp's also willing to look at selling old infrastructure to
farmers but does not think growers will be interested.
Wool industry's survival dependent on young shoppers: designer
Enticing young shoppers to wool is critical to the industry's survival, accordin
g to the head of leading men's fashion house, Ermenegildo Zegna.
The company will hold its annual awards in Melbourne tonight for wool producers
from Argentina, South Africa, New Zealand and Australia.
Count Paolo Zegna says his challenge is to get his daughters interested in weari
ng more wool.
"What worries me the most is not what has happened until now, but what could hap
pen in the future if the young generation of consumers don't get the message fro
m wool," he said.
Average rainfall expected over next few months
With many farmers looking anxiously for the autumn break, the latest prediction
suggests average rainfall is likely from May to July across the country.
Monica gathers strength
Tropical cyclone Monica continues to gather strength as it moves steadily west o
ver the Gulf of Carpentaria.
The new managers of a remote cattle station in the Northern Territory are urgent
ly stocking up on supplies.
Mainoru Station's Scott Woltman says his life in central Queensland did not prep
are him for the wild weather.
"It's all new, we don't get mixed up with these sorts of things in central Queen
sland where we come from," he said.
Diamond production drops
The big wet season in the Kimberley in WA, has contributed to a 40 per cent drop
in diamond production.
Stud owner 'optimistic' about online sale
Stud cattle are being sold exclusively on the Internet for the first time today.
Traditionally sales are conducted in person by agents with online selling offere
d as an additional feature.
Tanholm Limousin stud owner Kjedl Sorenson, from the Darling Downs in Queensland
, says the sale has attracted interest from across Australia.
"I'm not nervous, but I'm curious to see how it goes," he said.

Fodder export company invests in Douglas-Daly region

Despite a moratorium on land clearing and uncertainty over water allocations, de
velopment in the Douglas-Daly region, 200 kilometres south of Darwin, is still g
oing ahead.
Northern Australia Fodder Exports has bought the first of what it hopes will be
a number of properties growing alfalfa for the Japanese and Korean dairy markets
.
Chief executive officer Peter Ryan says there will be an initial investment of a
round $10 million, as a sign of faith in the region's future.
"I believe that it presents great opportunities and great natural advantages wit
h the quality and the size of the water resource, and the climatic advantages co
upled with the geographic advantages," he said.
Landcare popularity wanes
While Landcare is approaching its 20th anniversary in Victoria, a new survey sho
ws it is not as popular as it used to be.
Over the past six years, more than 4,000 Victorians have left the movement and t
he number of groups has also declined.
Survey author and director of the Institute for Land, Water and Society, Profess
or Allan Curtis, says there are a number of reasons why people are leaving.
Tweed farmer picks up environmental award
A sugar cane farmer from northern New South Wales has been named Australia's bes
t environmentally friendly farmer.
Robert Quirk received the 16th McKell Medal for excellence in natural resource m
anagement at a ceremony in Sydney this morning.
A farmer in the Tweed Valley for 44 years, Mr Quirk says he is dedicated to impr
oving soils, reducing chemical use and fertiliser run-off while increasing produ
ctivity and profitability.
"It is possible to do environmental stewardship, increase your bottom line and h
ave better outcomes all round for both the environment, the farming community an
d the longevity of the sugar industry, and other industries," he said.
Nullabor Muster set to boost remote town's population
The population of the isolated Western Australian town of Rawlinna is set to boo
m as people arrive for the annual Nullabor Muster.
The muster is not just the main event for pastoralists on the Nullabor, it is th
eir own event for the year.
And by tonight there will be literally hundreds of swags dotted across the groun
d.
It is a long way from anywhere, about four hours east of Kalgoorlie-Boulder on t
he railway line which connects the east and west of Australia.
Farmers expected to get tax concessions
Farmers look set to win capital gains tax concessions in the federal Budget to c
ut the cost of passing down family farms.
There could also be a billion dollar budget bonus for rural roads with the Natio
nal party believed to have secured money to link strategic roads to ports.
Currently many farmers pay huge capital gains tax bills when they sell their far
m because rising rural land prices have pushed their farm value above a $5 milli
on threshold.
The National Farmers Federation (NFF) says that means producers can no longer ac
cess small business tax concessions, making farm succession planning a costly pr
ocess.
Reports now suggest the Government will allow more farmers to get the tax conces
sion.
NFF chief executive Ben Fargher says the mooted changes make sense.
"Current rules mean farmers are clicked out of being able to access those exempt
ions, we've asked the Government to look at it," he said.
There is also speculation the Government is considering a $1 billion roads packa

ge aimed at Queensland's Bruce and Hume Highways.

Nationals leader Mark Vaile will not confirm the spending but says he is in favo
ur of more roads funding.
AWB 'apology document' suppression ruling looms
A bid by wheat exporter AWB to stop the release of an "apology document" is bein
g heard in the Federal Court in Melbourne.
Earlier this month the AWB board voted to lodge the court challenge to AWB inqui
ry Commissioner Terence Cole's decision to lift a non-publication order on the d
ocument, which was prepared for the company last year.
The document was written by a crisis management expert, who suggested the compan
y take a strategy of "over-apology".
Commissioner Cole ruled the document was not prepared for the purpose of legal a
dvice and so could be published.
An AWB spokesman said the board felt the document, and others to do with AWB's i
nternal investigation into the scandal, should be protected by legal professiona
l privilege.
Former managing director Andrew Lindberg has told the court he engaged a US publ
ic relations consultant to put together the statement of contrition ,which would
be presented to the Cole inquiry.
Under cross-examination he denied the statement was prepared for PR purposes but
maintained it was part of the company's legal strategy.
However Mr Lindberg acknowledged any statement to the inquiry would attract wide
spread publicity.
The court is expected to make a decision today on whether to release the documen
t.
Acting CEO resigns
Meanwhile AWB is looking for someone to fill its top job following the resignati
on of acting chief executive Peter Polson.
Mr Polson replaced Mr Lindberg but in a statement to the Australian Stock Exchan
ge, AWB says he wants to concentrate on other business interests.
Mr Polson will continue to be an AWB director.
Executive chairman Brendan Stewart will step into the vacancy until a new CEO is
found.
Credibility damaged
In another development, a survey shows the credibility of the Federal Government
and wheat exporter AWB has been damaged by the oil-for-food scandal.
Roy Morgan Research has surveyed more than 650 people living in rural and metrop
olitan areas about their perceptions of AWB and the Government since the Cole in
quiry began.
Director Gary Morgan says the public is not accepting the message being pushed b
y the Government about its knowledge of the deals and most have questions about
AWB.
"Sixty-five per cent said they did not act ethically, only 12 per cent said they
did," Mr Morgan said.
"We asked the question: 'Do you think the Prime Minister John Howard acted ethic
ally on this issue or not'.
"Fifty-four per cent said no, he did not act ethically, 29 per cent said he did,
17 per cent were undecided.
"We asked the same question about Alexander Downer. Fifty-six per cent said 'he
did not act ethically'.
Darwin residents prepare for Monica's onslaught
Preparations for tropical cyclone Monica are under way across the city of Darwin
in the Northern Territory.
The category 5 system has already created major disruptions with commercial fish
ing.
As tropical cyclone Monica tracks west across the Gulf of Carpentaria, many of t

he 75 prawn trawlers that fish the remote off-shore regions took shelter in calm
er waters to the south near Karumba and the Northern Territory-Queensland border
.
Others steamed back to their northern ports such as the Francis Bay Mooring Basi
n in Darwin.
The interruption to the banana prawn harvest has created at least one week of di
srupted fishing time and wasted fuel in not ideal fishing grounds.
One of the largest companies, NewFishing Australia, estimates the disruption wil
l cost them tens of thousands of dollars.
It is an unusual sight to see trawlers and fishing vessels in the Darwin Port in
the middle of the season which ends in just under one month.
They are being double lashed to moorings with ropes and packed in tight side by
side with tyre fenders between them to reduce friction.
And the level of water in this mooring basin will be dropped to allow these larg
e vessels to rest on the bottom for the worst of the weather.
Flooding
And rain from cyclone Monica is causing the worst floods in living memory in par
ts of far north Queensland.
Residents from a Cape York Peninsula aboriginal community and at least three fam
ilies from cattle properties have been airlifted to drier ground.
Glen Shephard from Lilyvale Station, near Princess Charlotte Bay, says he has ne
ver seen anything like it
"Wednesday afternoon it started to rain and by about seven o'clock the next morn
ing we'd had seven inches so the water was starting to tickle our toes, sort a t
hing," he said.
"It came through the house about fourteen or fifteen inches ... had to walk acro
ss the airstrip to get over on a bit of high ground.
"It's always a concern about crocs in this country [but] ... I didn't tell the k
ids that."
Senior forecaster at the Bureau of Meteorology David Alexander says Monica is on
e of the most perfect cyclone systems he has seen.
He says it is far more dangerous than cyclone Larry which caused massive destruc
tion in far north Queensland last month.
"It's probably the best developed cyclone I have seen in many, many years," he s
aid.
"It's got a perfect circular eye, it's right at the top of a category 5 range, s
o it's a very, very severe cyclone.
Egg producers unhappy at adjustment package rejection
Egg producers are furious that a meeting of state and federal primary industries
ministers has refused to endorse a $23 million adjustment package.
The funds would have helped farmers to leave the sector if they could not afford
to upgrade to bigger hen cages under new animal welfare laws.
President Jeff Ironside says the changes are being imposed by government and com
pensation should be paid.
"Unfortunately you can't do anything with the old systems because they don't len
d themselves to tampering with the size," he said.
"So egg producers virtually have to go out and buy new equipment to comply with
the new regulations because it is around about 50 bucks a bird, you know a farm
with 20,000 birds, a million dollars."
McGuigan Simeon rejects analyst's prices
Wine giant McGuigan Simeon has told growers in the Riverland and Sunraysia it wi
ll not accept prices set by an independent analyst last week.
The analyst was called into settle a dispute over how much the winery was prepar
ed to pay growers for grapes already delivered.
Chris Byrne from the Riverland Wine Grape Growers Association says the company m
ust now explain why it will not accept the prices.

High bacteria levels stop oyster production

Oyster production in the Bellinger River on New South Wales mid-north coast has
been halted due to unacceptably high levels of E. coli.
The New South Wales Food Authority has stopped harvesting Sydney Rock Oysters in
definitely.
John Lindsay from the Bellinger Oyster Growers Association says growers are shoc
ked and more should have been done earlier by authorities.
"We're all extremely surprised because we always thought the Bellinger River was
one of the pristine rivers," he said.
"We always thought it was one of the best rivers on the north coast. Obviously n
ot. We knew there were some problems in there.
"We've been onto council, we've been onto the Food Authority to try and clear up
some hot spots.
Farmers hit out at dept land clearing inspection methods
Farmers in western New South Wales have vowed to prevent state Department of Nat
ural Resources officials from entering their properties to conduct land clearing
inspections.
The farmers are angry at recent compliance checks where the department used a po
lice escort.
Doug Menzies says 200 farmers who attended a meeting in Nyngan are fed up with w
hat they say is unworkable legislation and heavy handed government approach.
"We've tried every legal avenue we can and we just get stonewalled every time,"
he said.
Irrigators confident of accessing water from gas reserves
Southern Queensland irrigators are confident they will be next in line to access
vast amounts of water from underground coal seam gas reserves.
The Federal Government has announced a $10 million project to allow the Dalby To
wn Council to use 1,000 megalitres of water extracted along with natural gas by
Arrow Energy.
Cotton grower Paul McVeigh says irrigators are making an application to the Nati
onal Water Commission so they access the water.
"The challenges I suppose this is new water, it's water that's never been availa
ble before and I think the exciting side of it is that at this stage you know wa
ter is probably the biggest issue in the whole Australian community and here we
are sitting on a great asset," he said.
Potato harvesters dig up WWII mortar bomb
A team of potato harvesters in northern Tasmania dug up more than they bargained
for at the weekend - a World War II mortar bomb.
Army bomb disposal experts were flown from Melbourne to the Campbell Town farm a
nd declared the rusty three kilogram bomb to be a harmless practice round.
Major Danny Rowe says they are called out to Tasmania on average once a month an
d only 10 per cent of bombs are found to be live.
"Some of the areas around here were used during the war and post war as practice
ranges, for troops that were billeted down in Tasmania, so some of these areas
have old ammunition on them that have been fired during the war," he said.
McGauran denies breaking promise over fruit code of conduct
Federal Agriculture Minister Peter McGauran has been accused of breaking an elec
tion promise, by not including the big supermarkets in a mandatory code of condu
ct for the fruit and vegetable sector.
Despite concerns within his own party, Mr McGauran is expected to take the code
to Cabinet tomorrow.
National Party backbenchers say the Government is not delivering on what it prom
ised.
In a statement during the election former leader John Anderson said the code wou
ld give producers a fairer deal on terms of trade and in resolving disputes with
produce buyers, who are in many instances large supermarket chains.

Member for Mallee John Forrest says the Government may as well not have the code
at all if it does not include the big retailers.
"To leave them out isn't delivering what we said we would deliver," he said.
The Government also faces a legal challenge from wholesale markets who are inclu
ded in the code.
Central Markets Association spokesman Andrew Young says the current plan gives s
upermarkets an unfair advantage over market wholesalers.
"It should be workable and right now we're facing something which in many respec
ts doesn't meet any of those criteria," he said.
But Mr McGauran denies he is breaking an election promise and says the code was
never meant to include retailers like Coles and Woolworths.
He says the real problems for growers occur when they send produce to market who
lesalers.
"Retailers were never part of the election commitment which was written down," h
e said.
Citrus company blocks canker surveillance officials
One of Australia's major citrus growing companies has closed its gates to Queens
land's citrus canker surveillance authorities.
The discovery of canker at Emerald in 2004 decimated the local industry, with th
e destruction of tens of thousands of fruit trees.
2PH Farms says the blockade is to support local orchardist Maurie Iddles, who mi
ssed out on financial assistance in the wake of the outbreak.
Craig Pressler of 2PH says it was not an easy choice, with both farmers risking
their plans to replant orchards next year.
"Well the decision wasn't taken lightly," he said.
"We wish to support Maurie and Connie in their fight for fair and equitable trea
tment with regards to compensation.
NZ apple growers hit back at wheat bug claims
Kiwi apple growers are angry at claims a native New Zealand wheat bug was spread
to Europe by apple packaging.
Australian growers say the discovery of wheat bug in Belgium and Holland could r
aise new concerns about the risks posed by New Zealand apple imports.
But Peter Beaven from Pipfruit New Zealand says a study has shown the pest has a
limited ability to survive cool storage.
"We don't believe for a moment it got there on apples it must have got there on
some other commodity that's not cool stored or on the clothing of tourists," he
said.
Decision reserved on AWB 'apology' document
A Federal Court Judge has reserved his decision on whether to make AWB's so-call
ed apology document public.
In hearings yesterday AWB argued the apology was drafted as part of the company'
s legal preparations for the Cole Inquiry.
Appearing as a witness for AWB, former managing director Andrew Lindberg told th
e court fellow board member Peter Polson had recommended a US public relations c
onsultant to help draft the apology, given his experience with crisis management
.
Mr Polson resigned as acting chief executive of the company last Friday.
But counsel for the Commonwealth said the main purpose for the draft apology was
to influence public opinion and help AWB's public relations strategy, by submit
ting the document to the Inquiry.
Justice Young has reserved his decision for a date to be set.
S Africa begins Iraq kickback inquiry
South Africa has established its own version of the Cole inquiry, into allegatio
ns of kickbacks to the former Iraqi regime of Saddam Hussein.
Eight South African companies have been subpoenaed to appear at the Donen Commis
sion.

Public hearings will begin in two weeks and will investigate illegal oil surchar
ges, after-sales-service-fees and inland transportation fees paid to Iraqi offic
ials.
Secretary of the commission, Matsepo Mobeng says the South African government ha
s looked to Australia's example.
Cyclone Monica downgraded
Darwin residents are breathing a bit easier today, with tropical Cyclone Monica
downgraded to a category 1 system this morning.
Remote pearl farms too appear to have been spared major damage from the cyclone,
which had been rated a destructive category five yesterday.
Chris Barnard from Arafura Pearls, north of Nhulunbuy says it is a lucky escape.
"As the winds intensified, we would have got up to about 180-200km/hr winds," he
said.
"We were lucky this cyclone season in the NT. Unfortunately what I have heard fr
om WA is that they have had a bit of a rough time. But in the NT we were saved t
his season. It was just a reminder to be on your toes the whole time. You never
know when one might hit, even as late as it is in this season."
Stormy weather causes diamond price drop
The stormy weather across northern Australia is affecting the price of diamonds.
Production at the world's biggest diamond mine, Argyle Diamonds in WA, dropped s
ignificantly in the first quarter due to wet weather.
Diamond expert James McGlew says the production drop, along with a rush of diamo
nd buying worldwide, is going to make a sparkler much more expensive.
"I mean over the last three years we've seen average price rises totalling about
60 per cent in price," he said.
Cazaly court action chances 'relatively slim'
A resources analyst says a Federal Court bid over the rights to an iron ore tene
ment in Western Australia's north-west has little chance of success.
Cazaly Resources pegged the large deposit in September when it become clear mini
ng giant Rio Tinto had forgotten to renew its lease.
Mines Minister John Bowler has ruled the land be returned to Rio, resulting in a
$75 million loss for Cazaly shareholders on the stock exchange yesterday.
But Hartley's Rob Brierley says Cazaly's court action could be in vain.
McGuigan denies grower grape prices claims
Wine giant McGuigan Simeon has denied grower claims it will not pay new grape pr
ices set by an independent analyst.
Grower associations in the Riverland and Murray Valley claim the winery has writ
ten to growers saying it will not accept the new prices.
But chief executive Dane Hudson says there has been a misunderstanding.
New techniques found to reduce fishing deaths
A four year project has shown commercial anglers can use long lines for deep sea
fishing without killing thousands of seabirds.
In the past trailing baited hooks behind trawlers in Antarctic waters has caused
the deaths of up to 3,000 birds a year.
Techniques, including quickly sinking hooks and hauling them in differently, hav
e reduced sea bird deaths to zero.
Les Scott from fishing company Petuna Sealord says other countries should follow
Australia's lead.
"The statistics show that the mitigation methods work because if you look at our
neighbours their bird mortality is still 2,000 plus," he said.
East Timor joins in Anzac services
A special Anzac Day dawn service has been held in Dili, the capital of East Timo
r.
It has commemorated 11 Australian soldiers believed to have died there in 1942.

During World War II, Australia's Sparrow Force worked deep in the rugged mountai
n jungles of East Timor.
Helio Tavares says they conducted guerrilla operations against the Japanese and
were supported by the Timorese people.
"During World War II the Timorese, supported the Australians, because they didn'
t want East Timor to be invaded by the Japanese Army," he said.
"Throughout the four years of struggle, up to 44,000 Timorese died assisting Aus
tralian soldiers.
"The Timorese really value that relationship with Australia and we can see it to
day.
"The Prime Minister addressing the people and saying that Australia is a very im
portant neighbour and a partner in the development of the country."
The school of the air in outback Queensland is also getting into the Anzac spiri
t.
A group of students from cattle stations in the Richmond area west of Townsville
has spent weeks practising the national anthem to perform for the local Anzac p
arade.
Teleworking project aimed at helping rural women
A new project is trying to get more rural women in jobs without having to leave
home.
Teleworking would allow women to utilise their education and professional experi
ence without the need to travel long distances.
Chris Capel from the Foundation for Australian Agricultural Women says getting c
ompanies to take on teleworkers is the biggest challenge.
"It'll be convincing employers and business [that] will be the major hurdle I th
ink," she said.
Mulesing replacement trial axed
The race to find an alternative to sheep mulesing by 2010 has hit a major hurdle
, with the Australian Quarantine and Inspection Service (AQIS) banning a key pro
duct being used in trials.
Australian Wool Innovation (AWI) has been injecting collagenase into sheep's bac
ksides to inhibit the growth of wool.
But the trials have now been dumped, with AQIS warning the biological agent pose
s a biosecurity risk and could carry mad cow disease.
AWI's Scott Williams says while it is costly to lose the research, other trials
are in progress.
"It's always costly to try and do R&D at the sort of pace we're doing it at beca
use we've only got a very short deadline, of course," he said.
"That means you sometimes duplicate things because you can't afford to fail, so
we've had, you know, three or four different fronts moving forward at once, even
though we may only need one or two of those.
Court opposes chicken meat producers' bid for joint action
Farmers have lost a five year legal battle for the right to band together to ref
use to supply processors.
The court action was launched by Victoria's chicken meat producers, who wanted t
o set a precedent for other farmers with limited contract options, including the
potato, wine grape and dairy sectors.
Under the Trade Practices Act, individuals can refuse to supply produce, but not
groups.
President of the Victoria Farmers' Federation's chicken meat group, John Clarke,
says the Federal Court's decision is a blow.
"The processors are dealing opportunistically with growers and abusing their mar
ket power but they haven't seen fit, or the tribunal hasn't seen fit, to go the
extra step and give us [the] right to have countervailing power.
Grain growers' future not looking rosy
Changing weather patterns, weed resistance and higher input costs are putting pr

essure on grain farm incomes, despite more land being cropped than ever before.
In the short term, farm incomes will go up but figures from ABARE and the Grains
Research and Development Corporation, say the picture is not as rosy further ou
t.
Increased production in Australia and strong global competition will keep grain
prices low.
Agricultural analyst Neil Clark says average-sized farmers have tough times ahea
d.
"The price of grain has been falling at about an average of 2.2 per cent for the
last 28 years and yet we all know that the costs of fertiliser, fuel and in par
ticular debt servicing are going to be at an all time high for the coming croppi
ng season and the commodity prices aren't all that great yet," he said.
"It's always great for the top 25 per cent and if we look at any of the ABARE st
udies they do shine.
Lack of rain doesn't prevent crop sowing
Crop sowing is under way in some parts of the country, despite the lack of a sig
nificant autumn break in Australia's south-east.
Plenty of unseasonal summer rain has led Western Australian growers to plant can
ola and lupins earlier than usual, to make the most of sub soil moisture.
Tenindewa farmer Glen Thomas is planting 6,690 hectares but says he is holding b
ack on certain crops, like lupins, because of poor prices.
"We probably would have put even more in, given the summer rain. But we're just
going to cap it at [1,000] where that's a big enough risk as it is," he said.
April rainfall sets Darwin record
The passage of tropical cyclone Monica in the Northern Territory has resulted in
new rainfall levels.
Darwin has had its wettest April since falls records began 65 years ago.
A total of 383 millimetres has fallen so far this month and weather bureau forec
aster Patrick Ward says that is close to four times the average.
"Darwin had about 53 mm at the airport, down towards Adelaide River it was a lot
heavier. East branch Adelaide River had 224 mm, which is quite a lot," he said.
"This time of year it's sort of the clearing up period of the monsoon season and
into the dry. It's unseasonably late to get a cyclone. It's just about the late
st cyclone we have had."
'Smart card' introduction raises regional concerns
Concerns have been raised about potential logistical, cost and privacy problems
in regional Australia with the introduction of a national identification card.
Federal Cabinet is today considering the so-called "smart card" which all Austra
lian adults would need to access Medicare, welfare and tax benefits.
But independent federal MP for New England Tony Windsor says he has seen no evid
ence that the benefits would justify the expense.
"Well very, very costly of course for people who have got distance and remotenes
s to contend with," he said.
"What if there are technical problems, if that personal information is on a card
and it is lost.
"We can see what computer fraud can do in accessing people's information.
Regional family day care operators fear for future
Family day care operators in many regional areas are worried they could be force
d to reduce services or even close within months because of funding shortfalls.
The threat comes on top of a drop in available childcare places over the past ye
ar due to changes to funding.
Tracey Guerin from the Alice Springs Family Day Care Centre says the situation w
ill get worse unless the federal Budget includes more financial support.
"I have grave concerns for the future of the service. I don't believe that we'll
be funded to the same level as we have been and I think that we will either hav
e to look at offering less of a service or closing all together," she said.

Investment schemes urged to stop new vineyard developments

Wine grape growers are urging investment schemes to put the brakes on new vineya
rd developments.
Peak body Wine Grape Growers Australia says money is still being put into the se
ctor despite a massive oversupply of grapes.
Executive director Mark McKenzie says people should be wary about investing with
out a long term, secure contract for the fruit.
"It's not just independent grape growers or contracted, or uncontracted, grape g
rowers who supply to wineries would be concerned," he said.
Newcastle shipment may provide new export opportunities
A live export shipment has left the port of Newcastle in New South Wales for the
first time in years.
The ship, carrying 980 dairy cows, will arrive in Japan in a fortnight.
Cameron Hall from LiveCorp says it could be a new opportunity for the dairy sect
or in a state not known for live animal exports.
Aust to help improve Vietnamese industries
An Australian man has been appointed to help improve Vietnam's dairy and beef in
dustries.
Vietnam's 25,000 dairy farmers have only four cows each on average.
Over the next five years, John Hopkins from Swan Hill will select 9,000 Australi
an cows for export to help boost herd numbers.
He will also help to establish a dairy training facility at the National Institu
te of Animal Husbandry in Saigon.
"They are really struggling with it and they are getting so many things wrong,"
he said.
Satellite tracking collars to track dingoes
Dingoes in southern and western Queensland are being fitted with satellite track
ing collars.
The collars are part of a two year research project to help track and contain wi
ld dog numbers.
Leigh Allen from the Department of Natural Resources and Mines says they have ta
rgeted three state forests near Roma, Dalby and Morven where baiting is not work
ing.
"This is a research project to understand more about where dogs are coming from,
how far they're moving and what the sources of the current problem are," she sa
id.
Humans urged to adopt animal eating patterns
A study into the eating patterns of animals could help cut obesity rates in West
ern countries.
Left to choose their own food, research has shown animals will first seek out pr
otein and never become obese.
In a natural state, the same is true for humans.
But Professor Steve Simpson from the University of Sydney says modern diets with
high fat and salt contents trick people into overeating.
"But if you simply change the ratio and you can do that in one or two ways - inc
orporating high quality protein items in the diet and by that I mean lean meat o
r fish or high quality vegetable proteins," he said.
Upper Hunter stallion breaks stud fee record
A new Australian record for a stud fee has been set by the stallion Redoute's Ch
oice.
The Arrowfield stud in the Upper Hunter of New South Wales has increased the cha
mpion stallion's service fee from $220,000 to $275,000.
Study spell trouble for single desk: Opposition

The Federal Opposition says the Government is carrying out a 'hatchet job' on th
e wheat export system by funding a study which it believes will call for the rem
oval of the single desk.
Opposition agriculture spokesman Gavan O'Connor says grains industry think tank,
Single Vision Australia, has commissioned a report into the single desk.
Single Vision is funded by the Government through the Grains Research and Develo
pment Corporation and has asked the Centre for International Economics to carry
out research into the wheat export system.
And Mr O'Connor says that spells trouble for the single desk.
"It's the sort of organisation I think you employ when you want a hatchet job on
the issue," he said.
The Government denies it had anything to do with setting up the report.
And Agriculture Minister Peter McGauran says while the Government will consider
its findings, it will not necessarily become policy.
"It will be an interesting read and whether or not it ever becomes public policy
I wouldn't know," he said.
The report is due for release in the next few weeks.
Meanwhile hundreds of grain growers from across Western Australia have gathered
in the wheatbelt town on Cunderdin to show support for the single desk.
Deputy Prime Minister Mark Vaile is also there to listen to farmers' concerns.
Brookton farmer Wanda Mattingly says WA growers want to send a clear message to
Prime Minister John Howard that he needs to protect the current system.
"If we don't do something and then we sit back and whinge about it then we are o
ur own worst enemies," he said.
Panel urges national approach to GM technology regulation
There is a call today for a national approach to the regulation of gene technolo
gy because of confusion caused by state-based bans on genetically modified (GM)
crops.
The Gene Technology Act was introduced in 2000 to oversee the use of GM technolo
gy in Australia but since then all states except Queensland and the Northern Ter
ritory have imposed their own rules.
Chairwoman of an independent panel which has reviewed the Act, Susan Timbs, says
the regulations have become too confusing.
"This was a point that was made very strongly to us by industry, that if they go
through and get their approval from the regulator, suddenly they feel that ther
e is a complete block because they don't know the criteria that they need to mee
t to convince the relevant state governments," she said.
Remote station may be nominated as alternative dump site
There is speculation in the Northern Territory that a remote cattle station coul
d be nominated as an alternative site for a national nuclear waste dump.
Senator Nigel Scullion has intimated that Northern Land Council lands near Tenna
nt Creek are being considered.
One of the few Aboriginal stations in the region is Muckaty on the edge of the B
arkly Tableland.
Former station owner Miriam Hagan says while the area is drier than the proposed
Top End site, she would still have grave concerns for the cattle country, if th
e rumour is true.
"I'm quite stunned actually and I do think it would be a profanity to put that o
n the beloved place where my sisters and I grew up," she said.
"There are, you know, deep underground aquifers, so I think a lot of homework wo
uld have to be done.
Hydro sale inquiry calls grow
Pressure is mounting on the New South Wales Government to hold a public inquiry
into plans to privatise Snowy Hydro.
A big meeting of irrigators in southern New South Wales has called for legislati
on to guarantee their access to water.
The meeting of 200 irrigators in Griffith last night follows a fiery gatherting

of 300 people in Cooma last week.

Irrigators are seeking a guarantee that minimum releases to the Murray and Murru
mbidgee Rivers, covered by the Snowy water agreement, will be legislated.
They are also calling for a 10 per cent cap on individual shareholdings.
A former Snowy Hydro commissioner, Vin Good, urged people to oppose the sale.
"This Australian heritage icon should be kept in Government ownership forever,"
he said.
With harvest drawing to a close, up to 3 per cent of wine grapes will be left un
picked this year, due to oversupply.
The national vintage is expected to reach 1.9 million tonnes, just 1 per cent do
wn on last season.
Row brews over european bumblebees plan
A row has erupted over a plan to import european bumblebees to mainland Australi
a.
While the horticulture sector says they could help boost production in greenhous
e and hydroponic operations, environmentalists are worried about other impacts.
A Department of Environment and Heritage report released for public comment last
week is considering the importation of bumblebees for controlled crop pollinati
on.
Queensland greenhouse tomato grower David Da Pra says it would dramatically boos
t production.
"Bring higher pollination, which will give better fruit quality, better shelf li
fe, more saleable fruit," he said.
The Wide Bay Conservation Council's Pam Soper wants further research into artifi
cial pollination, strongly opposing the importation of the bumblebee.
Resource boom behind zinc mine's reopening
The booming base metals price has led to the reopening of an old zinc mine in th
e Kimberley region of Western Australia.
Canadian company Teck Cominco will reopen its underground mine near Fitzroy Cros
sing because of a recent hike in zinc prices on the London Metal Exchange.
Teck Cominco exploration general manager Wayne Spilsbury says zinc is performing
well after a three-year price glut.
"We were watching the stocks of zinc in the LME warehouses and making sure those
numbers were coming down before we made a decision to reopen. There is now an u
nder supply, but that has only turned up in the last year or so."
In South Australia, junior zinc explorer Terramin Australia has also benefited.
Pastoralists brush up on first aid
Some of the Northern Territory's most isolated pastoralists are in Tennant Creek
to improve their medical skills today, amid concerns over the future of health
services.
Station managers and workers from around the Northern Territory's Barkly Tablela
nds have travelled hundreds of kilometres to the central Australian town of Tenn
ant Creek for the annual Barkly Health Seminar.
Heavy rain and boggy roads has done nothing to keep people away at a time of unc
ertainty about the future of remote health services in the region.
Pastoralists have expressed concern that visits by health experts to pastoral st
ations may soon be cut back.
Former station to provide haven for protected species
A former 63,000 hectare pastoral station in South Australia's north-east has bee
n opened as a conservation park.
Boolcoomatta Station has been bought by the Federal Government and the Nature Fo
undation of South Australia to protect endangered bird life and flora.
Doug Humann from the Australian Bush Heritage Fund, which will manage the proper
ty, says it is a unique bioregion.
"It's a property that embraces vegetation systems and land types that are very p
oorly reserved in Australia," he said.

"It contains vulnerable species like the plains wanderer, a bird and we hope in
future yellow footed rock wallabies.
Fruit fly find concerns growers
Fruit and vegetable producers on the Adelaide Plains are worried about the impac
t of a fruit fly outbreak.
Mediterranean fruit fly, which also targets vegetables, has been detected in Ade
laide's north-west suburbs.
Mike Redmond, from the Virginia Horticulture Centre, north of the outbreak, says
a quarantine area has been established and sterile flies are being released to
contain the spread.
"If it got into our greenhouses it would be horrific for our industry," Mr Redmo
nd said.
"Tomatoes, capsicums, eggplants would be the main impacts from our perspective.
Eucalyptus rust fears
The Primary Industries Ministerial Council meeting last week sounded an alarm ca
ll on the fungal disease, eucalyptus rust. The council noted the tree disease, n
ative to South and Central America, had reached Hawaii, and there are fears it c
ould get into Australia. Indeed the council went so far as to suggest that preve
ntion and contingency plans for the disease be prepared as a matter of urgency.
The disease attacks plants under two years of age, causing leaf and shoot diebac
k and killing the plant. Potentially it could kill not only large numbers of you
ng plantation trees but also native eucalypts, as it has a wide number of eucaly
pts which could act as hosts. Ensis have predicted the areas most likely to be a
t risk are the NT, coastal Queensland and NSW. However, generally warmer conditi
ons could see it easily colonise regions further south. In Brazil, there is a 40
per cent fatality from the disease.
Footrot control review
The continuation of the state's sheep footrot control program has been assured a
fter a comprehensive review by representatives from the South Australian Sheep A
dvisory Committee, the South Australian Farmers Federation and PIRSA. In the 195
0s, about one third of the sheep flocks in the south-east were suffering from th
e disease but eradication programs and improved diagnosis have eradicated the mo
st virulent strains. Sheep with the disease find it difficult to walk and can ge
t fly blown feet and legs from the disease, and they must be quarantined. Footro
t is still a notifiable disease although new technologies would be trialed to fi
nd better control methods.
More work to be done on fresh produce code of conduct
The Federal Government denies it has broken a key election promise for a mandato
ry code of conduct for the fresh produce sector, despite further delays.
The code, to improve relations between wholesalers and growers, was to have been
introduced within 100 days of the last election.
Agriculture Minister Peter McGauran now admits there is still more work to be do
ne after Cabinet again failed to agree on the plan this week.
He also says statements by former deputy prime minister John Anderson that the c
ode would include the big supermarket chains have been misinterpreted.
"I thought that was quite ambiguous and was a broadening out of his other statem
ents that I've had regard to," he said.
"So it might have been in Mr Anderson's mind to expand it to supermarkets but th
at would have been policy on the run."
The National Farmers Federation says the Government's 100 day deadline was alway
s unachievable.
Despite wanting the retail sector included originally, vice-president Charles Bu
rke now just wants the policy in place as soon as possible.
Veg prices increase not flowing through to farmers
New figures show vegetables are costing 15 per cent more than at this time last

year.
The Australian Bureau of Statistics says the cost of food overall jumped more th
an 4 per cent last quarter due to a hot summer and higher costs for inputs like
fuel and packaging.
Mike Badcock from vegetable grower group AUSVEG says despite the rises, farmers
are not seeing any increase in their profits.
"The very hot summer that eastern Australia experienced this year really affecte
d production, it basically cooked the product in the ground and it wasn't suitab
le so there's been some quite large shortages of product - that's the reason pri
ces have gone up," he said.
"The two major supermarket chains control about 76 per cent of the market, they'
ve never had so much market share and they're becoming quite aggressive on what
prices they pay for product.
Security tight for World Meat Congress
Animal rights campaigners have attempted to disrupt the World Meat Congress in B
risbane, where 600 delegates are discussing the future of the industry.
Protesters crying "murder" also say the Federal Government is sanctioning animal
cruelty.
Security is tight at the World Meat Congress with police surrounding the Convent
ion Centre in Brisbane and security guards everywhere inside the building.
The protest comes as Australia is experiencing unprecedented growth in the cattl
e and beef industry.
Cattle numbers are expected to grow by nearly 3 million head in the next four ye
ars and the value of exports has risen by $870 million since 2003, that's on the
back of growth in Japan and Korea.
But keynote speaker at the Congress, Professor David Hughes, says while industry
cannot ignore concerns about animal welfare, the total opposition to the farmin
g of livestock represents a minority worldwide.
Murray River irrigators to sell water to Govt
The Federal Government will buy back water from Murray River irrigators to meet
its targets for environmental flows.
Irrigators will be able to apply to sell water they have saved through improved
on-farm infrastructure.
It is designed to help supply 500 gigalitres of water under the Living Murray In
itiative.
Parliamentary Secretary for water policy Malcolm Turnbull says the tender proces
s will be put forward at the next ministerial council meeting.
Oil-for-food inquiry adjourned
Apart from one last witness, public hearings at the oil-for-food inquiry are ove
r.
Commissioner Terence Cole has formally adjourned the four month investigation.
Former UN customs official, Felicity Johnstone, will fly to Australia in mid-May
to give evidence.
High Aussie dollar hurts farm profits
Economists say the rising Aussie dollar is cutting into farm returns.
The dollar has risen five cents over the past few days and overnight lifted abov
e 75 US cents.
Westpac senior economist Justin Smirk says speculation over an interest rate ris
e next month has fuelled the increases.
But he says other factors are also having an impact.
"Commodity prices globally really haven't gone anywhere over the last 12 months
or if anything perhaps have eased a bit," he said.
"So this strong Aussie dollar, of course, is crimping back our exporters income
for the farmers and really when you are thinking about the farm sector - higher
interest rates yes they will bite a bit around the margin.
"But perhaps the real significance is what we can't control and that is the rain

fall out there and that is really going to be the driving factor of whether farm
ers have a good year or not."
The higher dollar and a large volume of wool has not helped the wool market, wit
h sales resuming after the Easter recess.
Wool bale sold to fashion house for $63,000
The finest bale of wool ever offered in Australia has been sold for around $63,0
00.
The bale of 11.7 micron wool was sold by Ian and Kaye Appledore from Victoria's
Wimmera region for 70,000 cents a kilogram to Italian fashion house, Lora Piana.
Ian Appledore is happy with the price, but says the bale was not the best they h
ad to offer yesterday.
"11.7 [micron] wasn't our topline bale, our topline bale eventually sold as well
once again to Lora Piana," he said.
"We sold that one for 48. The reason the 11.7 was our second line bale was it ju
st didn't have the strength of the first one.
Tennant Creek residents oppose toxic dump
Residents of Tennant Creek in the Territory have rejected suggestions that a nat
ional toxic waste dump be built near the town.
Muckaty station just north of Tennant Creek has been identified as a possible si
te.
Three sites near Alice Springs and Katherine have been short-listed for the dump
, but there is growing speculation that none of them will be chosen.
Vic Govt to challenge wind farm ban
The Victorian Government will take Federal Court action in a bid to overturn a d
ecision to stop a wind farm development in south Gippsland.
Federal Environment Minister Ian Campbell blocked the $220 million project becau
se of a threat to the endangered orange bellied parrot.
While the State Government says the decision was unreasonable local farmer Don J
elbart believes it was the right one.
"They keep coming back to the parrot but there's 17 threatened species there," h
e said.
Adelaide River battles flooding
The Northern Territory community of Adelaide River is battling flooding in the w
ake of tropical cyclone Monica.
More than 150 millimetres of rain fell on Anzac Day alone this week.
Kai Hansen lives on Goat Island on the western edge of Kakadu National Park and
says brown, crocodile-infested waters are roaring past his house.
"There is no dry land left at all. We knew this beforehand that there is a poten
tial for it to come up here but 800mm of rain in one month, and 290mm of rain in
19 hours we had - it's an incredible amount of water," he said.
"I don't think we will see any crocs because as soon as water gets a bit rough t
he crocs seek quieter land.
"We don't worry about it, we walk around chest deep in the water now and then ou
tside to salvage more things and get the boats and barges tied up and get to the
generator shed, and we don't even consider it."
Councils seek to fill jobs through Melbourne advertising
A group of western Victorian councils have resorted to advertising in Melbourne
newspapers to try to lure workers.
Ararat Rural City and the shires of Northern Grampians and Pyrenees will use rat
epayer and state funds for the campaign, to address the skills shortage.
Ararat Council's rural development manager Mark Hogan says tradespeople, medical
professionals and agricultural workers are all in short supply.
"The key area that made our mind up that this was the way we needed to go was so
me recent research from state and federal governments which showed that the numb
er of people applying for jobs in our region and the Wimmera area is very small,

" he said.
Sterile fruit flies fail to satisfly partners
Sterile fruit flies have been touted as a way of controlling numbers of the pest
insect but researchers say they are not proving to be satisfying mates.
Research has shown female fruit flies are attracted to the sterile males but the
y are not always satisfied and head off looking for other mates.
Dr Phil Taylor from Macquarie University says they are now trying to fix the pro
blem, to stop them from causing major damage in horticultural regions.
"Wild flies don't seem to mind mating with them, however the sterile males have
some issues with the amount of sperm they transfer and then the female's likely
to re-mate," he said.
Studies to investigate GM crop issues
The Federal Government has placed further pressure on the states to lift their b
ans on genetically modified crops by announcing eight case studies into the sect
or's most contentious issues.
The studies will be done by the Bureau of Rural Sciences and the Australian Bure
au of Agricultural and Resource Economics, and the private sector will contribut
e.
There will be four different reports on the impacts of releasing genetically mod
ified canola, while weed control and the affect on organic farmers will also be
considered.
Water trading available for southern Qld farmers
Queensland has given the go ahead for its first water trading scheme involving r
iver systems.
Previously farmers could only buy water attached to land or from government-run
irrigation schemes.
Water trading will now be introduced across the Moonie and Warrego catchments in
southern Queensland.
An entitlement to access 120 megalitres a day from the Moonie River will be auct
ioned next month and Clayton Smith from Elders believes it could sell for well o
ver $2 million.
"Existing irrigators will be keen to get more water to do more development on th
eir properties and secure their future," he said.
Mini turbine generates farm power
A Victorian dairy farmer has invented a mini hydroelectric turbine to generate o
n-farm power.
The Sundermann turbine, named after farmer Fred Sundermann, can be used in slowmoving water, like irrigation channels and streams.
It is about the size of a large washing machine and is designed to generate powe
r in remote areas.
Mr Sundermann says he hopes his turbine can be used to power remote communities
around the world.
"I have dreams for the turbine," he said.
Roo shooter numbers may threaten industry
There is concern a record number of kangaroo shooters in Queensland is threateni
ng the industry's future.
Up to 2,000 shooters are registered in Queensland, with 400 new licences granted
since October alone.
Jeffrey Newton from the Macropod and Wild Game Harvesters Association says recor
d roo meat prices mean too many people are vying for a share of already limited
quotas.
"As with any industry, big dollars attract people that are chasing that quick do
llar but unfortunately this industry can't sustain that," he said.
Water in the bank

While water scarcity is not much of an issue in the Top End at the moment, in ce
ntral Australia attempts to develop a new horticulture industry depend very much
on new water saving technology. The water re-use project in Alice Springs has b
een under development for some time but emerging technology could make a number
of similar projects viable and workable. Professor Stuart White from Sydney's Un
iversity of Technology has worked on water saving projects with governments and
councils around Australia and he says there is a new sense of urgency to develop
water savings projects. "When we start to move away from the urban sector and t
alk about water use more generally and remember 80 per cent of water is not used
in towns and cities it's actually used in irrigated agriculture and so on, we d
o have to take a bit of a long hard look at some of the industries that are usin
g water and say is this appropriate and what is the trade off between the impact
of some of these industries and the impact on water ways and the benefit we der
ive from them. However there is huge scope for efficiency there, I mean we're ta
lking about efficiency levels which can be improved even beyond what we're talki
ng about in the cities, in terms of relatively low cost savings, and some of tho
se are starting to be picked up and that's a good thing."
Crop planting to follow weekend rain
Despite the high diesel prices, crop planting is expected to get into full swing
across much of Victoria and South Australia this week after good weekend rain.
Most of South Australia's growing areas had rain and there were also falls of be
tween 44 and 30 millimetres across northern Victoria.
Victorian talkback caller Shirley is certainly relieved.
"We've had 51 millimetres. We had one of those scattered thunderstorms. We were
actually away for the day and we got home here at about 6:00pm and the further w
e came towards home, there was more water and we got home and there was just wat
er everywhere," she said.
AWB delegation to investigate wheat pesticide find
A 50,000 tonne shipment of Australian wheat has been stopped from unloading in I
ndia after tests revealed unacceptable levels of pesticide.
The shipment, which left the port of Adelaide last week, is now on standby at Ch
ennai port, awaiting further testing from Indian and Australian authorities.
It is the first consignment of a half million tonne tender won by exporter AWB a
nd spokesman Peter McBride says the company is sending its own delegation.
"They have identified that there is a high level of pesticide reading, so AWB is
sending a high level delegation to India which will leave today to meet with ou
r customers to address the issue and obtain more information," he said.
"We've run tests here as the ships leave and we'll do that for future vessels.
"We can't really provide further details until we have met with our customers an
d hopefully we'll have further information later this week or early next week."
Trucking companies to pass on increased fuel costs
The transport industry will start passing on the increased cost of fuel this wee
k as companies begin to include fuel surcharges in contracts.
The Australian Trucking Association (ATA) has been urging operators to act for s
ome time, especially smaller businesses who are struggling to absorb the higher
diesel costs.
The ATA's Stuart St Clair says he is relieved at the industry's decision and bel
ieves most customers have been expecting it.
"I think the majority of customers would understand because they'd be under some
similar price pressures themselves, particularly those that have a lot of vehic
les on the road, whether they be stock and station agents or whether they be far
mers or others," he said.
New dam plan angers farmers
Farmers are angry over plans for a big new dam in south-east Queensland.
Landholders near Gympie are planning a campaign to try to force the State Govern
ment to scrap the idea, which involves the resumption of 900 properties.

The dam is designed to fix the water crisis in the south-east corner of Queensla
nd and will cover 7,500 hectares of prime farm land near Traveston Crossing on t
he Mary River.
One of the region's biggest dairy producers, John Cochrane, has just spent a mil
lion dollars upgrading his farm, which would end up 30 metres underwater.
Ginseng managed investment scheme wound up
Tasmania's ginseng managed investment scheme will be wound up, with a $5 million
loss.
There were hopes the scheme could be salvaged but they have been dashed by the p
oor performance of the ginseng farm near Richmond, in the state's south.
Buderim Ginger's domestic sales drop 6pc
Queensland-based Buderim Ginger says the major supermarket's push towards home b
rands has resulted in its first drop in domestic sales in 15 years.
The company has announced a profit of $536,000 for last year, up 56 per cent.
Exports have grown 10 per cent but chairman John Ruscoe says domestic sales have
fallen away by 6 per cent.
"The retailers are clearly trying to position their own house brands where they
can at the most desirable places in the store, which means that our products rea
lly are competing with that," he said.
Wet season takes its toll on live cattle exports
The Northern Territory's protracted wet season is having a lasting impact on liv
e cattle exports to South-East Asia.
Feedlots in Australia's largest market, Indonesia, are less than half-full, with
another 50,000 cattle needed.
Stuart Kenny from the Territory Cattlemen's Association says cattle prices in In
donesia have gone up but that has not slowed demand.
"There has been more price rises over the last couple of weeks but our visitors
are saying that the prices did not detract from the supply and that's a good sig
n," he said.
"I think the Indonesian economy is certainly sort of holding its own and we cert
ainly look forward to seeing a good cattle season ahead for the NT cattle indust
ry.
Table grape exports resume to Indonesia
Table grape exporters have resumed trade with Indonesia after being shut out of
the market last month.
Indonesia has imposed tough new quarantine protocols to reduce the threat of fru
it fly, which the industry has branded unworkable.
Some companies have begun fumigating fruit with methyl bromide at a Melbourne fa
cility to meet the new demands but Brett Pickering from exporter Best Fresh says
it is not an ideal result.
"There is an additional cost obviously for the treatment," he said.
"In terms of shipping out of the country we lose a bit of flexibility in being a
ble to utilise the Adelaide port for later leaving vessels.
WA native title battle resolved
A 12-year native title battle surrounding the Western Australian town of Broome
has finally been resolved.
The Federal Court has recognised the Yawuru people as the rightful native title
holders of land surrounding Broome.
The full effect of native title will take place on the Indigenous-owned cattle p
roperty, Roebuck Station, while the neighbouring property, Thangoo Station, will
continue to operate as a privately-owned lease.
Fred Chaney from the Native Title Tribunal says the decision also extends to are
as like the famous Cable Beach.
"The beach is of course a very significant feature of Broome and that is an area
where you can't have exclusive possession the court found but where the Aborigi

nal people have continuing traditional interests which they share with the gener
al community," he said.
"There are areas of town where native title has been found to survive (in other
words not extinguished) and there are very large areas outside town, in particul
ar the Aboriginal owned pastoral property which has exclusive possession native
title."
Pilbara pastoral strike anniversary remembered
Indigenous people in Western Australia's north-west are commemorating the 60th a
nniversary of the Pilbara pastoral strike.
Aboriginal pastoral workers walked off stations on May 1, 1946, demanding wages
and better conditions.
Fran Heintz from the Wanga Maya Aboriginal Language Centre says the event had a
massive impact on Indigenous workers.
"It's been a fairly significant event for the region and in many ways we believe
it's a significant national event," he said.
"Some people actually call it the black Eureka. It did set what's been in place
now for 60 years and that is the equal respect.
Cattlemen unable to find murdered teen
Cattlemen in Victoria's Barmah forest have been unable to assist police in findi
ng a murdered teenager missing since April last year.
Detectives asked the cattlemen to keep an eye out during their annual muster at
the weekend.
Raymond Allen, 17, from Mooroopna, is believed to have been killed and buried in
the forest on the banks on the Murray River.
But Kelvin Trickey from the Barmah Cattlemen's Association says nothing was foun
d.
"We haven't detected anything at all ... we're always tracking for cattle, looki
ng for foot marks and that all through the bush," he said.
Parade heralds start to mustering season
The main streets of Alice Springs are closed today to pay tribute to the local c
attle industry.
The Bangtail parade celebrates the traditional start to the central Australian m
ustering season.
Historically the May Day weekend was when cattle from stations around Alice Spri
ngs were marched through the streets to the year's first sale.
Today there are no cattle in sight but the Alice Springs mayor will lead the par
ade watched by about 5,000 people as it makes its way through the centre of the
town.
But while Alice Springs is a hive of activity, it is somewhat more quiet on the
stations.
Athletic mare takes out campdraft comp
An athletic mare called Roanys Chex, ridden by central Queenslander Pete Comiske
y, has taken out Australia's richest campdraft at Rockhampton.
Record numbers of riders competed over the weekend in front of what organisers s
ay was its biggest ever crowd.
Mr Comiskey says his $20,000 share of the prizemoney will come in handy.
"Most certainly there's always plenty of costs in campdrafting," he said.
"It's always a great honour to win the big one and this mare has been very succe
ssful for us, to win the clock last year and the Gold cup, and we're very lucky
to have her on the truck."
Skilled migrants' minimum wage may hurt business
Meat processors say the Federal Government's decision to set a new minimum wage
for temporary migrant workers will hurt regional businesses.
Workers on temporary visas will have to be paid a minimum of $42,000 a year afte
r unions claimed local jobs were being undercut.

The Federal Government says the decision is to help Australia compete against ot
her nations in the fight to attract employees.
Kevin Cottrill from the Meat Industry Council says while it will not stop employ
ers from taking on migrant workers, it will add to costs.
"The big risk I guess is that the expectation of current employees and of unions
is that there might be a 7 per cent increase across the board in wages, that wo
uld be the big danger," he said.
"We're looking at something in excess of 7 per cent which is a substantial incre
ase given the current rates of inflation so it will certainly have an affect on
the costs of the industry."
Rural students sought to fill mining job vacancies
The education sector in South Australia will recruit students from rural areas t
o meet the needs of the state's mining boom.
With concerns over future labour shortages, a new degree in mining engineering w
ill be offered at the University of Adelaide next year.
Inaugural Professor of Mining Geology, Ian Plimer, says the new course will spec
ifically seek students from outside the city.
"We are really targeting students from the rural areas because the mining takes
place in the rural areas," he said.
Animal rights group targets children in education campaign
An animal rights group has announced plans to target 3 million children in 9,000
schools with a program it says teaches compassion and respect for animals.
Voiceless has launched its Animal Club project on the Internet, encouraging chil
dren to speak out against factory farming, live exports, and kangaroo culling.
Education Manager Elaine Morris, says it is the first national animal education
initiative for children.
"All Animal Club really wants to do is just provide children with the opportunit
y to harness that natural empathy that most children have for animals, and look
at them through a child's eyes," she said.
Blueprint targets strategies to combat rural suicides
The Federal Government has been presented with a blueprint outlining 23 ways to
ease the mental health crisis in regional Australia.
The release of the blueprint marks the launch of the Rural Mental Health Network
, a partnership of 19 stakeholders from New South Wales.
The Rural Mental Health Network includes mental health support groups, charity o
rganisations, government departments and farming representatives
The network says male farmer deaths from suicide are double that of any other gr
oup in the population and is urging governments to take action saying the drough
t may end, but ramifications such as depression and financial hardship continue
for many years.
Farmer confidence falls as oil prices rise
High oil prices and rising Australian dollar have hurt confidence levels among f
armers.
The National Australia Bank's agribusiness monitor shows more farmers reported p
oor conditions in the March quarter than in the December quarter, although they
are generally optimistic about the longer term.
Machinery demand falls in wake of low grain prices
Low grain prices are being blamed for a big drop off in demand for broadacre tra
ctors and machinery over the past 12 months.
Sales are booming in the sugar, dairy and horticulture sectors for smaller equip
ment, but Vin Delahunty from the Tractor and Machinery Association says grain fa
rmers are holding off.
"People who are relying on sales into the cropping areas have really struggled,"
she said.

Canola growers may benefit from high oil price

The high price of crude oil is causing plenty of headaches, but there could be a
positive spin-off for canola growers.
European countries and the US are focusing more attention on alternative ways of
producing power.
David Syme from the Grain Pool in Western Australia says they will be looking fo
r more canola.
Particularly in Germany, there's quite a number of new biodiesel plants going up
, and that's of course consuming a lot of their rapeseed oil," he said.
Fertiliser supplier's half-year profit rises
Fertiliser supplier Incitec Pivot has reported a turnaround, posting a half-year
profit of more than $27 million up nearly 60 per cent on last year.
The company says it is a result of a restructure and high fertiliser prices.
Climate change may shift Goyder's Line
Climate change could force South Australia's iconic Goyder's Line to shift 100 k
ilometres south.
The imaginary line was drawn in 19th century by surveyor general George Goyder m
arking the 250 millimetre rainfall area from the Eyre Peninsula around to the Ri
verland.
He believed the region north of the line should not be cropped.
Peter Hayman from the South Australian Research and Development Institute says w
ith an increase in temperature and a reduction in rainfall, the line could shift
as far south as the Clare Valley.
"What we found was that the worst scenario, so the worst amount of warming and t
he most extreme scenario was for it to move by 2070 as far as as somewhere like
Clare," he said.
Turnbull hears river flow worries
The Parliamentary Secretary responsible for water, Malcolm Turnbull, has entered
the debate over cross-border water flows in the Condamine Balonne river system.
Landholders in north-western New South Wales have long complained they are missi
ng out because Queensland irrigators are allegedly extracting too much water nor
th of the border.
Mr Turnbull met landholders yesterday and says while the Federal Government cann
ot force Queensland to change its water management policy, the problem must be a
ddressed.
"There is no question in my mind that when the allocations of water were made in
Queensland over the last 2O to 30 years, little or no regard was had to the dow
nstream consequences in New South Wales," he said.
Dam compo discussions too early, says minister
The Queensland Government says it is too early to discuss compensation for farme
rs affected by a proposed new dam near Gympie, in the state's south-east.
The Government is planning to build a 660,000 megalitre dam on the Mary River, w
hich would involve the resumption of 900 properties.
But Water Minister Henry Palaszczuk says it will be a number of weeks before the
Government decides if it will definitely go ahead with the plan.
"Currently it's under investigation but if the numbers stack up, of course that
will become the site," he said.
Commercial beekeepers close up shop
The commercial beekeeping industry in the Northern Territory has decided to call
it a day.
After the poorest season in memory involving floods, termites, cane toads and a
depressed honey market, Kevin Eastburn from the NT Beekeepers' Association says
they simply cannot continue.
He says his greatest concern at this point is what the decision will mean for ot
her industries, which rely on local bees for pollination.

Pearl farm purchase 'positive sign for industry'

There are changes under way in Australia's pearling industry, with a major distr
ibutor and marketing company buying its first pearl farm.
The Autore group has paid $15 million for Broome-based Clipper Pearls.
Brett McCallum from the Pearl Producers Association says after a tough few years
in the sector, the deal has injected a bit of confidence in the sector.
"I think that someone like Autore who is as close to the market and as close to
the pearling world as he is, has obviously got great confidence in investing a s
ignificant amount of money in this industry," he said.
Tokyo restaurant to use Victorian produce
The Bracks Government is backing a restaurant in Tokyo, which will offer food ma
de entirely from Victorian produce.
Locally-grown beef, lettuce and olive oil will be among the ingredients on the m
enu at Hiroo 148.
Ross Clarke from the Department of Primary Industries says it is designed to hel
p producers overcome communication problems with Japanese distributors.
"When you put a new product into the Japanese market it takes some time to devel
op a supply chain," he said.
"Translation is a real issue and communicating with importers about your product
.
Beef brand celebrates program benefits
The benefits of marketing food from paddock to plate are being marked by the 10t
h birthday of one of Australia's biggest beef brands.
Certified Australian Angus Beef began by supplying 12 steers for a Melbourne res
taurant.
It now kills 2,000 head of cattle a week, with 80 per cent of the product export
ed.
Chief executive Michael Pointer says the program has added vale to the product a
nd boosted demand for angus genetics.
"Very simply Certified Australian Angus Beef does not own an animal or a kilogra
m of beef," he said.
Results of sheep pesticide review still some time away
It will be several months before a report into the health effects of a common sh
eep pesticide are made public.
The Australian Pesticides and Veterinary Medicines Authority is conducting a rev
iew into diazinon, which is used to treat lice and flystrike in sheep, after its
use caused serious health concerns for some rural workers.
Tests clear Australian wheat shipment
Authorities in India have now cleared a shipment of Australian wheat, just two d
ays after claiming it contained an unacceptable level of pesticide.
A second round of tests has found no contamination in the 50,000 tonne consignme
nt, which is being unloaded at the port of Chennai.
AWB's Peter McBride says the company is not yet sure what caused the mix-up.
"AWB has been officially informed that the wheat has been fully cleared by India
n authorities and the shipment is currently unloading at Chennai in India," he s
aid.
"We had some meetings late yesterday, we'll obviously have further meetings toda
y but the good news is the wheat has been cleared."
Rates hike to hurt commodities outlook
The Reserve Bank's decision to lift interest rates is more bad news for farmers,
following on from high fuel prices.
The interest rate rise, to 5.75 per cent, is the first in more than 14 months.
Senior analyst with Hartleys, Rob Brierley, says the announcement will hurt the
outlook for commodities.

"Most of the commodities are priced in US dollars so it means that the seller of
the commodity actually gets less in Australian dollars for it," he said.
Farmers dispute Govt report figures
Vegetable growers say the Federal Government has made up figures in a report, wh
ich shows extended country of origin food labelling would cost consumers $120 mi
llion a year.
Farmers want the labels on packaged and canned food as well as fresh produce to
give consumers more information and promote locally grown fruit and vegetables.
But the Government says the study shows the costs of the changes would far outwe
igh the benefits for both consumers and growers.
John Roach from grower group AusVeg says the study was based on flawed data.
But while rejecting new laws to enforce more detailed labels, Federal Agricultur
e Minister Peter McGauran says he wants to change the Trade Practices Act to giv
e consumers more accurate information.
He says under the changes, 'made in Australia' would be replaced for some packag
ed food to 'grown in Australia'.
Fruit growers attend crisis summit
Australia's summerfruit industry is drafting an action plan to try to keep produ
cers in business.
Peach, nectarine, plum, apricot and apple growers are battling cheap imports and
a lack of export sales since access to Taiwan was restricted last season.
Fruit growers are still thrashing out the details at a crisis summit in Melbourn
e, but Heather Chong from Summerfruit Australia says some priorities are emergin
g.
Wool pool to help Tas growers
In a departure from the traditional auction system, wool growers in Tasmania wil
l be able to sell their fibre through a new wool pool.
Agribusiness Roberts Limited has launched Wool Link to market Tasmanian grown an
d branded wool direct to the fashion houses of Japan and the US.
Ten thousand bales will be sold in the first year, and the company says growers
will be paid more than they have received on average in the auction rooms.
Marketing manager Eric Hutchinson admits there is bound to be scepticism.
"And for some it's going to be a leap of faith in what we can deliver, there's n
o doubt about that," he said.
US producers implement animal ID system
US Agriculture Secretary Mike Johanns says major beef buyers have given the coun
try little choice but to implement a national animal ID system.
The National Animal Identification System could become compulsory if not enough
US producers volunteer to join by 2009.
Mr Johanns says in response to industry opponents of animal ID in US, major beef
competitors Australia and Canada have already implemented systems to trace and
contain disease outbreaks.
And most recently, Mr Johanns cited retail demand in Australia.
"I just noticed that in Australia, a representative of McDonalds, which of cours
e is a major purchaser of beef, made a statement about the need for this animal
ID system."
Mr Johanns predicted the US industry will have to change with the times, despite
some who oppose new costs and less corporate privacy.
Restraint boxes to improve cattle slaughter in SE Asia
Australia is investing almost a million dollars to improve the slaughter of catt
le in South-East Asia.
Fifty restraint boxes are being installed at abattoirs across Indonesia and Mala
ysia.
The aim is to ensure all Australian cattle are processed humanely within two yea
rs.

Meat and Livestock Australia's Patrick Underwood says he is confident the boxes
will be used.
"It's a fully galvanised and enclosed box, whereby the animal enters through a r
aceway into an abattoir, is placed in a restraining box and restrained prior to
slaughter," he said.
"I have formed an animal welfare task force, with members of APFINDO (the Indone
sian feedlotters and farmers association), so the Indonesian importers are with
us, illustrating the clear benefits of using these restraining boxes."
Beef Australia under way in Rockhampton
Australia's biggest beef industry event is under way in central Queensland.
Rockhampton hosts Beef Australia every three years, claiming it is the country's
beef capital.
Fifty thousand people are in the city and over 200 head of stud cattle from 34 b
reeds, making it one of the largest displays in one place in one time in the wor
ld.
And the world is in Rockhampton - 450 delegates from 27 countries including Arge
ntina, Indonesia and China.
It is not all conferences and seminars though. The Iron Man and Woman event will
see competitors eat marinated bulls testicles and there's a great debate, is be
ef better than sex?
Decision to abandon water transport plan 'not surprising'
Residents of Western Australia's far north say they are relieved at a decision t
o abandon plans to transport Kimberley water to Perth.
Three options were investigated by the State Government, involving a water pipel
ine, a canal or transport by sea.
None have been found to be economically viable.
Kununurra resident Dick Pasfield says he is not surprised,
"I think there was a reasonable amount of scepticism about whether a project lik
e this would actually be viable in terms of the economics," he said.
"I guess that what the report has said is basically what a lot of people thought
in the first place, that it's going to cost far too much money to do a project
like this."
The WA government is still on the hunt for alternate water sources, looking at o
ptions including the Yarragadee aquifer in the state's south-west.
Aboriginal corporation fined for neglecting cattle
An Aboriginal corporation in Western Australia has been fined $10,000 for failin
g to provide sufficient water for 1,500 head of cattle on a station in the state
's interior.
The fine was handed down yesterday after the Windidda Aboriginal Corporation ple
aded guilty to the charge brought by the RSPCA.
Tim Darcy from the Pastoralists and Graziers Association says it is important th
at livestock producers from across Australia stick to animal welfare standards.
Dry conditions take their toll in NSW
Dry conditions are continuing to hurt in New South Wales, where producers in the
Upper Hunter are being knocked back from grazing cattle on the travelling stock
routes.
A lack of water is being blamed for the situation in Singleton, Scone and Merriw
a, where some producers are waiting up to 12 months to access reserves.
Scone ranger Gerard McLaughlin says he does not have a choice, with half the wat
ering points in his area dry.
"There's 590 head at the moment wandering around the roads in my area ... there
could probably be a lot more if we had water that's the problem," he said.
"At the moment I'm getting more and more requests for people wanting to go on th
e road but it's a bit awkward when you can't access water."
Farmers battle fleabane

Farmers in Western Australia are battling a nightmare weed which can take over p
addocks and is difficult to kill.
The area affected by fleabane on the south coast is increasing rapidly, with the
tall woody plant also spreading into agricultural areas further north.
Dr Sally Peltzer from the state Department of Agriculture and Food says good sum
mer rainfall has made the problem worse.
"I've been out and about actually trying to collect a bit of fleabane and I have
seen some pretty nasty paddocks," she said.
"It looks worse because they're sort of tall and hairy looking so that doesn't t
end to look, compared to the other, pasture plants or whatever."
Govt holiday workers scheme to be extended
A scheme to use backpackers to ease labour shortages in the horticulture and cro
pping sectors is being extended to cover livestock, forestry and fishing.
From July, holiday makers who work for three months in jobs like shearing, stock
handling and pearling will be able to apply for a second 12 month visa.
The Federal Government will also double the length of time backpackers can work
for one employer - from three to six months.
The National Farmers Federation's Denita Wawn says producers would prefer to emp
loy local workers but there are not enough people willing to work in regional Au
stralia.
"At NFF certainly it is our preference that we can [use] locals to work in these
jobs but experience shows that people, a lot of people simply aren't interested
in working in agriculture," she said.
But some primary industries are highly critical of the changes.
The Territory's pearling industry says the increase to six month work placements
will not solve labour shortages, because that's still not long enough to cover
the cost of induction and training.
The Horticultural Association says the extension will benefit the nursery, pruni
ng and packing industries but spokeswoman Tracey Leo says there could be a big i
mpact on the mango harvest.
"We are seeing a thinning of the available labour pool. So in short I guess we a
re now going into competition with industries that we may not have been competin
g for labour with before," she said.
"In our high volume years, they [foreign workers] are a significant portion of o
ur labour force.
Failure to reach trade deal could delay Doha talks: Vaile
Despite missing a crucial deadline in global negotiations to reduce trade distor
ting tariffs and subsidies in agriculture, Trade Minister Mark Vaile says a deal
can be reached this year.
Mr Vaile flew back into Australia this morning after talks in Europe and says th
e European Union is now looking at further reductions in the financial support i
t gives to farmers.
But he is warning a failure to get a deal this year, could delay the Doha Round
of talks until 2011.
"That is the great unknown because once we go beyond the northern summer which i
s fundamentally August, the farm Bill has to be renewed and there's already pres
sure coming on in Congress in Washington to start writing a new farm Bill," he s
aid.
Govt urged to help pay-off wool debt
The wool industry has made a united call on the Federal Government to help pay a
$27 million debt owed by its marketing arm, Australian Wool Services (AWS).
AWS has been responsible for a UK-based superannuation fund for former employees
since privatisation in 2000, which is costing the company more than $1.2 millio
n a year.
The debt is holding up any possibility of a merger with research group, Australi
an Wool Innovation.
AWS chairman Barry Walker hopes industry delegates will meet with Agriculture Mi

nister Peter McGauran within weeks.

"We've been trying now for some 20 months with the Government to get this on the
agenda and to get recognition of the issue," he said.
Poppy processor slashes prices
The poppy industry has taken another hit, with processor Tasmanian Alkaloids sla
shing prices to growers by 17 per cent.
Two weeks ago Tasmania's other processor, GlaxomSmithKline cut its crop area by
90 per cent.
Lyndley Chopping from the Tasmanian Poppy Growers Association says the latest pr
ice cut cannot be supported.
"We cannot recommend the prices to the growers and we're not recommending the pr
ices to the growers," he said.
"We feel as though the company is taking advantage of the situation.
"We're very upset with the result of this. So the growers do their figures as to
whether they grow again or whether they give the land a spell, or whether they
go into another crop or another enterprise. That's their call."
Snowy Hydro inquiry won't delay sale
The New South Wales Government says plans to privatise Snowy Hydro will not be d
elayed by a parliamentary inquiry into the sale.
A New South Wales Upper House committee made up of Government, Opposition and cr
oss bench members will investigate concerns about the privatisation.
The inquiry is due to report back in late October, although the State Government
says the sale will proceed by the middle of the year.
Opposition natural resources spokesman Adrian Piccoli denies it is too late to m
ake a difference.
Minister launches wind farm discussion paper
The Federal Government is investigating a national code for wind farm developmen
ts, to try to stop conflict in rural communities.
The Government is embroiled in a legal stoush with Victoria, after overturning a
pproval for a major new wind farm in Gippsland in order to save the endangered o
range-bellied parrot.
Environment Minister Ian Campbell has launched a discussion paper on the propose
d code, which he says may be the best way of resolving disputes.
Vic juice grade apples can't find buyers
Cartons of juice grade apples are being left in Victorian packing sheds this har
vest.
Growers say they are being offered an opening price of $55 a tonne, which is not
enough to cover freighting and picking costs.
Beechworth grower Rob Tully says there is added frustration from city-based juic
e bars, which will only take a-grade fruit.
"Even the juice bars though, are very quality conscious and although they're onl
y making juice fruit they're fairly conscious if the fruit has too many marks on
it," he said.
WA potato farmers battle watery conditions
Waterlogged crops are making harvest difficult for the second year in a row for
seed potato producers on WA's south coast.
Potatoes from the Albany area usually contribute between $3 million and $4 milli
on to the state's $10 million industry, which exports to South-East Asia and Mau
ritius.
But wet summer and autumn conditions have halted mechanical harvesting, and Terr
y Ackley from the WA Potato Growers Association says spuds are rotting in the gr
ound.
"Swamps were still very wet from the last season and we never really had a hot,
dry summer to dry them completely," he said.
"And of course this rain has been devastating again.

Agfest crowds brave the Tassie cold

It has been a chilly start to Tasmania's annual rural field days, Agfest, in the
state's north.
Coffee sales are up but farm machinery sales are expected to be down.
Querkus Park is a sea of tents, marquees and pavilions, and with an early taste
of winter chills, stalls with heaters are proving very popular today.
Agfest is the major gathering for rural industries with more than 700 exhibitors
and sales are seen as a barometer of the state's rural industries.
This year, sales are expected to reflect the contract cuts in the poppy and vege
table industries.
The bright spot though is the buoyant dairy industry.
Lamb sales to Japan booming
Sales of Aussie lamb into Japan are booming, with annual growth rates of up to 7
0 per cent.
Japanese importer Top Trader says lamb is losing its reputation as an unpleasant
smelly meat and the market is set to grow, despite looming competition from US
beef.
And the good times are set to continue.
Meat and Livestock Australia's Malcolm Harvey says Russia is emerging as the nex
t big market for lamb.
"It's not subject to any quotas, the amount of money and wealth being generated
in Russia is just something that's hard for people to comprehend, and they love
Australian lamb," he said.
Competition hots up at Beef 2006
It is another huge day at Beef 2006 in Rockhampton in central Queensland.
There is very serious business taking place, amid the trade fair rodeos and the
sinking of a few ales.
It is the biggest stud beef cattle ever held in Australia with over 30 breeds on
show.
The prime cattle competition was won by Ken McKenzie of Yaralla, near Blackwater
in central Queensland.
Farmers wary of govt changes to fuel rebates
Farmers already fighting higher interest rates and the strong Aussie dollar now
face changes to their fuel bills from July 1, which could add further pressure t
o their budgets.
The Federal Government will scrap a tax subsidy rebate worth up to three cents a
litre to regional motorists, and change the 18-cent a litre on-road energy cred
it scheme.
Under the scheme, farmers and transport operators will receive their fuel rebate
off their GST bills, instead of a cash grant paid directly into their bank acco
unts.
Luke Fraser from the Livestock Transporters Association says the changes will cr
eate a cash flow headache for rural and regional businesses.
"We have a business where over 30 per cent of our total cost input is fuel. Farm
ers would probably understand that sentiment," he said.
"And in that sort of position, when you're being asked to go through administrat
ive hoops to try and claim that back, and you never actually see it in cash, it'
s just coming off a tax bill, well that's a big change.
"To say, look on July 1 it's all going to switch over and everyone will be fine,
is incredibly naive and insulting."
A spokesman for Assistant Treasurer Peter Dutton says it will be simpler in the
long run to deliver the energy credit to farmers and truckers through their GST
bills.
Aileron residents don sombreros for Mexican mutton chase
It is not often you see Mexicans swilling tequila and riding donkeys in central

Australia.
But this weekend at the bush carnival at Aileron, 130km north of Alice Springs,
you had better be prepared to don a sombrero.
While the adults gulp down beans and tequila and race donkeys, organiser Sarah D
ebney says it is sheep that people really want to see.
"That's the Mexican mutton chase...we've got teams of two children and the team
puts on their ponchos and hats and they run down the other end and do the same s
cull with water and baked beans, run back and we let sheep out of the shoots and
they have to herd the sheep over the line," she said.
Crowds flock to Broken Hill for Agfair
The far western New South Wales city of Broken Hill is packed to capacity today,
for the area's biggest biennial event.
There is not a spare motel room available in Broken Hill this weekend as swarms
of people have converged into the city to celebrate Agfair.
Three hundred exhibitors are on show slightly down on two years ago, as organise
rs claim high petrol prices have discouraged some from travelling the distance.
Exchange rates hit wool market
Rising exchange rates and high pass-in rates have hit the wool market again this
week.
The eastern market indicator dropped off 6 per cent, to finish the week at 708 c
ents a kilogram clean.
Prices are 46 cents lower than the season high in March.
Among the offerings were 1,700 bales offered by the New Zealand Merino Company.
A whopping 41.6 per cent were passed in.
Beef program adds to producer returns
A new economic analysis has found the beef quality program MSA is adding an extr
a 20 cents a kilo to beef producers' returns.
The meat standard was developed by the Beef Cooperative Research Centre and uses
a set of scientific criteria to allow consumers to identify beef which is guara
nteed to be tender.
Centre head Dr Heather Burrow says the program will add $85 million to beef reve
nue this financial year.
Overall, she says it has generated three times what it cost to industry to devel
op.
"Averaging 20 cents a kilo, beef producers, retailers and processors are getting
a premium for beef that they can guarantee is better than every day eating qual
ity," she said.
The Bureau of Statistics will conduct a census of livestock producers for the fi
rst time in five years.
It will collect data from 190,000 farms across the country and is expected to hi
ghlight the value of the cattle industry to the Australian economy.
Census manager, Jim Williamson says the data will help to drive the live export
industry.
"Being able to ensure we can meet future export markets if we want to enter into
future contracts, we can be confident we have enough cattle to fill the contrac
ts," he said.
"People can keep a handle on whether the cattle herd is going up or down."
Primary producers frustrated at lack of harvest labour support
Primary producers in Western Australia are disappointed at missing out on harves
t labour support.
The Federal Government will fund services in 16 harvest areas across Australia,
but says tenders from the west were not up to scratch.
The services help to match the pool of workers with seasonal job vacancies.
David McKerrell from the Kimberley Primary Industries Association says it is fru
strating funds have not made it to all regions
"It needs to be recognised that there are production areas right across Australi

a that have a requirement for harvest labour and all areas should be given oppor
tunity to take part in those sort of schemes," he said.
Maritime protected area boundaries to be announced
The Federal Government will this afternoon announce the final boundaries for mar
ine protected areas off the Tasmanian, Victorian and South Australian coasts.
They are expected to be significantly different to the Government's initial prop
osal, which drew criticism from the fishing and scallop industries for being too
strict.
The Tasmanian scallop sector said it would be wiped out if the areas were enforc
ed.
Poppy processor defends price cut
Poppy processor, Tasmanian Alkaloids says its latest price cuts will not be a di
saster for Tasmanian growers.
The company will slash prices for the coming crop by 17 per cent, although it pl
ans to double the size of its supply contracts.
The Poppy Growers Association says the price cut can not be supported, but Rick
Rockliff from Tasmanian Alkaloids says higher yielding varieties and a better se
ason should help farmers to improve their profits.
"We feel confident that if growers pay attention to detail and follow their fiel
d officers' advice, given a more normal season, we're pretty confident that grow
es will have substantially more money in their bank accounts this time next year
," he said.
NFF calls for schools to examine interest groups
The National Farmers Federation is calling on governments to ban special interes
t groups from unvetted entry to school classrooms.
Animal rights group Voiceless has launched a web-based education program which o
ffers prizes for the most humane school and encourages children to speak out abo
ut factory farming, kangaroo culling and live exports.
NFF president Peter Corrish says the website has links to extreme animal rights
groups.
"What we're saying is the principals of each school and certainly the parents of
the children involved need to have a look at this website and actually go to th
ese links and see what information their children may be accessing," he said.
Shareholders expected to launch class action against AWB
A class action by shareholders against monopoly wheat exporter AWB is expected w
ithin weeks.
Investors will seek compensation from AWB, alleging the company did not report i
ts activities truthfully.
The Cole Inquiry has spent the past four months investigating AWB's actions unde
r the oil for food program in Iraq.
Ben Slade from Maurice Blackburn Cashman, says the class action will raise a num
ber of issues.
"The most extraordinary positive act of misleading conduct we think is October 2
7 when the company issued a statement to the stock exchange after the Volcker su
ggestion was made in 2005 that the company may have been involved in sanctions b
usting," he said.
"The company made a statement to the stock exchange that it was not. Well that's
another course of action that is even more powerful."
AWB shares have defied stockmarket trends to gain ground this week, despite the
Reserve Bank's decision to lift interest rates.
AWB stocks fell considerably during the Cole inquiry, but yesterday gained 5 per
cent.
Stockbrocker Matthew Baker says the prospect of more trade with India is behind
the gains.
"But basically AWB has got on with its job and it's gone out there and it looks
like it's going to win more business in India which is basically ship more produ

ct out the door," he said.

"Their price will vary because of the currency side but they're happy because th
ey're going to be selling a lot more stock."
The Indian Government is expected to announce a tender for 3 million tonnes of w
heat within a week.
Soaring domestic prices and a lower than expected crop are putting pressure on I
ndian authorities to provide enough wheat for the population.
Milk, cheese, yoghurt prices to rise
On top of petrol hikes and higher interest rates, the cost of food is now on the
way up.
National Foods and Fonterra say they will lift prices for milk, cheese, yoghurt
and fruit juice products by up to 3 per cent, and supermarkets are expected to p
ass on the increase to shoppers.
The increases are to try to cope with increased packaging and transportation cos
ts.
For farmers it is a different story, with most unable to increase their prices.
Andrew Young from the Central Markets Association says farm gate prices will not
change just because wholesale prices have gone up.
"There's not an automatic link essentially unless they've got contract pricing i
n place, which for a lot of sectors of the industry that just doesn't exist, it'
s commodity market pricing," he said.
NFF seeks regional road and rail spending commitments
Farmers are calling for regional roads and rail spending to come before further
investment in the Future Fund when Federal Treasurer Peter Costello hands down t
he Budget tomorrow night.
The fund is designed to cover future superannuation payments to public servants.
The National Farmers Federation (NFF) is warning the Government against boosting
investment in the Future Fund and adding to the surplus, at the expense of infr
astructure spending and tax reform.
Chief executive Ben Fargher says the Government must commit to lifting the stand
ard of grain rail lines in New South Wales and Victoria.
And he is calling for basic all weather road access to farms and the sealing of
all designated arterial roads by 2013.
"Farmers need to actually get the produce from to the farm to the National Highw
ay in the first place," he said.
Mr Costello is already talking up big money for regional roads and rail, with sp
ending expected to be in excess of a billion dollars.
"Better transport means a better economy with a higher speed limit for growth,"
he said.
The Government is also hinting at capital gains tax reform, which should help su
ccession planning for farmers.
Meanwhile transport operators in the Northern Territory are looking for funding
in the Budget to improve remote roads.
For the past fortnight 60 road trains have been unable to cross the Victoria Riv
er, west of Katherine, due to damage caused to Highway One by flooding.
The delay is estimated to have caused the industry at least $7 million, with wei
ght restrictions only lifted at the weekend to allow single trailers through.
Scott Van-Loom of Shaw's Darwin Transport wants to see remote road funding annou
nced tomorrow night.
"It has been the longest [delay] for a number of years. It was two weeks, which
just put Darwin in chaos from Perth," he said.
"We had seven road trains there, there was a total of 60 waiting in Kununurra to
get through. That was coming north, coming south there was probably about 40 ro
ad trains waiting on this side.
Oil price may pass $US100 a barrel
A transport expert says although biofuels and ethanol may help in the long term,
nothing can stop oil prices hitting highs of $US100 a barrel.

David Lamb, who heads the Energy Flagship of the CSIRO, says there is no way pro
duction of any alternative fuels can match more than about 1 per cent of our ene
rgy needs.
His concern comes as a world expert on energy markets, Claude Mandil, warns that
with strong demand and falling supplies, oil prices could eventually rise above
$US100 a barrel.
Mr Lamb says without any alternative fuels, cutting consumption is the only opti
on.
"By 2011 our Government's plan is to be producing 350 million litres of ethanol
per year but that's only about 1 per cent of the amount of oil we use so that's
no solution by 2011," he said.
Wool prices expected to pick up
A new report says wool prices are about to climb again, despite seven weeks of l
osses.
The eastern market indicator is 46 cents per kilogram below the seasonal high re
corded in March.
The latest business survey from marketing body Woolmark says the fall was inevit
able, with not enough demand to support high prices.
But with stronger orders coming through from China, western Europe and East Asia
, Woolmark economist Kerry Stott says prices will pick up through the June quart
er.
"It's the best it's been in almost five years," he said.
"The really good thing is that it's more widespread geographically than in the p
ast and not only that, it seems to be more widespread right through from combing
through to weaving.
"And I think if people look at what's happening to our prices in US dollars, and
see that our prices are still going up in US dollars, they'd be pleasantly surp
rised."
The eastern market indicator closed at 708 cents a kilo clean on Friday.
Woolmark's prediction is being backed by some analysts.
Elders Queensland wool manager Maurie McNeill expects a decent recovery based on
price indications out of China.
"We can probably see 20 per cent retracement of the losses that we've seen in th
is market over the last four or five weeks, particularly in the finer end of the
market," he said.
Fears new marine park boundaries will force out fishermen
The fishing industry says new boundaries for proposed marine parks off the coast
s of Tasmania, Victoria and South Australia will not restrict commercial fishing
as much as first thought.
After complaints about the draft boundaries, Federal Environment Minister Ian Ca
mpbell has now finalised the plans for the marine protected areas, which will co
ver 200,000 square kilometres of ocean.
Although the Government will provide $220 million compensation, Ross McGowan fro
m Seafood Industry Victoria is worried about fishermen who will be forced out of
the industry.
"For us to sit here and say 'it's minimised' is all well and good. But the end o
f the day these marine protected areas will have a significant impact on some in
dividuals, so significant that they will have to get out of the industry," he sa
id.
Digging finally under way at new gold mine
On the back of record prices, another gold mine has opened in Western Australia.
Tanami Gold has begun work at the Coyote project in the Tanami Desert, south-eas
t of Halls Creek.
There have been delays to starting the desert operation because of the wet seaso
n.
With the price of gold above $880, Tanami chairman Dennis Waddell is relieved to
be finally digging.

"We've had plenty of rain and that has just delayed access more than anything, b
ut we've made that up," he said.
"We started mining on Friday, which was a pretty momentous day. The excavators a
nd dump trucks arrived last week and we took the first bucket of ore out on Frid
ay afternoon."
Resources boom raises housing shortage fears in silver city
The resources boom has raised fears of a housing shortage in the silver city of
Broken Hill, in far western New South Wales.
With the opening of the Bemax mineral sand mine and the development of the Honey
moon uranium mine, there are concerns the town will not be able to accommodate a
n influx of workers.
Broken Hill real estate agent Jim Hickey says the mining industry is now looking
to house workers in serviced apartments, which are in short supply.
"We're going to be shortly in need of some good development if other companies s
tart to bring people in," he said.
Golden Circle back in the black
Queensland food processor Golden Circle has announced a jump in profits, less th
an three months after appointing a new chief executive.
Despite losing $26 million in 2003, the company made a $10.4 million profit befo
re tax last year.
Chief executive John Cox says he has also improved communication between the com
pany and its grower shareholders.
"Golden Circle recognises that we are going to have to do things a lot smarter,
and more in line with our growers," he said.
Cotton results receed expectations
A gamble on this year's cotton crop appears to have paid off, although yields ar
e down, and quality is mixed.
With harvest in full swing in New South Wales, the results are better than expec
ted, despite a record-breaking summer heatwave.
Although growers in the Macquarie Valley faced almost zero water allocations at
the start of the season, Auscott Macquarie planted almost 75 per cent of its nor
mal acreage.
Managing director Chris Hogendyke says most has made it though.
"We got lots of allocation increases during the summer and the crops the crops t
urned out to be really good," he said.
"We're looking at about 10.5 bales per hectare average and we're very happy with
the result.
Olive oil shortage drives up prices
South Australian olive growers are looking forward to a bumper harvest this year
, with prices up and more orders than oil.
A poor European crop has compounded a worldwide shortage of olive oil, pushing p
rices up to between$5.50 and $6 a litre.
Olives SA chair, Lisa Rowntree, says even with the higher prices, olive producer
s will not be able to harvest enough oil to meet demand.
"Sales are fantastic. This is very much a seller's year for olives," she said.
"I've sold everything that I'm responsible for selling in the region and all the
other growers as well have sold their olives and we could have sold them probab
ly twice over.
Gelbvieh bull takes champion award
A Gelbvieh breed of bull has been named supreme male champion at Australia's big
gest stud cattle competition at Rockhampton, in Queensland.
More than 2,000 nominations across 33 breeds for the title made it the biggest s
tud cattle competition in Australian history.
Guyra producer Michael Jackson, who owns the winning bull "Double J Zulu", was u
nderstandably happy about the win.

"We have been showing cattle for nearly 20 years now, and we've never won anythi
ng like this," he said.
Mine rescue comp highlights important skills
Mine safety is in the spotlight, as rescue workers continue to try to free two t
rapped miners in Tasmania.
Over the weekend miners in Western Australia have been testing their rescue skil
ls at the Surface Mines Rescue Competition in Kalgoorlie.
Cindy Lewis from the Jundee gold mine, who won the best captain award, says comp
etitors were thinking of the trapped miners and their rescuers in Beaconsfield.
"We were confronted with a situation last year at our minesite," she said.
Water costs to push commodity prices up
A national conference has heard rising water costs will push some irrigators out
of primary production.
The Irrigation Association of Australia's conference in Brisbane has also heard
high water costs will push up commodity prices.
Chief executive Jolyon Burnett says some irrigators face rises of up to 4,000 pe
r cent, as water authorities move to recover more of the delivery costs.
"It is important that we attach a more realistic value to water and that there b
e signals, if you like, to the growers to value that water and to improve their
efficiency."
Despite the rising costs, Professor Paul Perkins from the Australian National Un
iversity predicts Australia will be one of the few countries in the world with e
nough water to grow its own food in 25 years time.
He says it is a great opportunity to expand exports.
"The global water shortage is much worse than the Australian water, so-called wa
ter crisis," he said.
Vic experts play part in mine rescue
Three mining explosives experts from Victoria have played a role in the final st
ages of the Beaconsfield Gold mine rescue.
The tunnel inching towards the two trapped men hit very hard silt stone, which r
esisted the hand drills and jack hammers.
General manager of Stawell Gold Mines Mark Mitchell says the men tested the expl
osives in other parts of the mine before they had to be used in the Beaconsfield
rescue shaft.
"We sent the guys down to help with the PCS type explosive, which you would have
heard people talking about," he said.
"We use that at Stawell Gold Mines for a number of tasks. It's something we use
in the normal course of our operations. We don't consider it to be a particularl
y specialist thing, it's just something we have some experience in.
India tenders for 3m tonnes of wheat imports
Wheat exporter AWB will face tough competition in the latest tender from India f
or 3 million tonnes of wheat, which was announced overnight.
The Indian market has emerged this year as a replacement for traditional markets
in the Middle East, which are buying cheaper wheat from Europe and the Black Se
a.
Grains analyst Malcolm Bartholomaeus says that has left Australia and the US str
uggling to find other customers for last year's bumper crop.
"India is very important both for Australia and for the global wheat market this
year," he said.
"Egypt, of course, is a major importer of wheat. Right at the moment they tend t
o be favouring cheaper wheats out of Europe and Russia, so that both Australia a
nd the US are missing out on that particular market.
"In terms of the Australian crop, and obviously losing a lot of market share in
Iraq, India is equally important from that perspective as well."
While AWB has confirmed it will tender for the contract, details on price and vo
lume remain confidential.

Meanwhile, it is unclear if some of AWB's legal costs for the Cole inquiry will
come out of the returns for the national pool.
The legal bill is likely to have blown out from the $16 million AWB shareholders
were told about at the annual general meeting in February.
The chairman of AWB International, Ian Donges, says AWB Limited is picking up al
l accounts at the moment.
But he says there is still discussion about whether some of those should be pass
ed onto AWB International on behalf of the pool.
Local councils 'starved of funds'
With a quarter of all local councils in New South Wales on the brink of financia
l collapse, farmers are calling for changes to Australia's system of government.
A symposium held in Sydney has heard experts on governance discuss how local cou
ncils are struggling to cope with new responsibilities and a lack of funds.
Former president of the NSW Farmers Association, Mal Peters, says state governme
nts are ignoring rural communities and what is needed is a system of government
that is closer to the people.
Credit scheme changes anger farmers
Impending changes to the energy grants credits scheme have not been welcomed in
rural Australia.
Until now, claiming the 18 cents a litre credit has been a simple process of pos
ting off a claim form and getting the money back quickly.
But from July 1, the fuel rebate will be delivered through the GST reporting pro
cess.
For farmers and other agricultural businesses who are not filing a monthly Busin
ess Activity Statement, it will take much longer to get the money back.
Livestock transporter Jim Savage, from Tamworth in New South Wales, fears delaye
d payments will create problems with cash flow.
"See you, you gotta be up front to pay your fuel bill, otherwise there'd be no f
uel," he said.
Bananas doing big business for NSW farmers
Banana growers on the north coast of New South Wales are continuing to harvest s
ome spectacular profits in the wake of cyclone Larry.
Mullumbimby wholesaler Jan Trueman says cartons of fruit that fetched about $10
to $12 before the devastation of the Queensland industry, are now worth between
$60 and $80.
He says it is set to become even more lucrative as winter approaches.
"Oh most definitely, for sure," he said.
"Our fruit is, y'know, is at a premium now and going into winter, I mean our fru
it starts to slow up anyway, so it's only going to get dearer and dearer.
World trade changes pose problems for fruit growers
Tasmanian apple growers are feeling the pressure of change in Australian horticu
lture and are hosting a meeting later this month to address their future.
Thomas Frankcomb from Fruit Growers Tasmania says the industry is at "yet anothe
r cross roads", with significant changes in global production, market prices and
the threat of cheaper imported fruit.
He hopes the meeting will help growers make choices about their future and belie
ves the issues are bigger than just one state or one sector.
PETA takes aim at Middle East
Animal rights group PETA says it will target Middle Eastern countries for the fi
rst time, as part of its campaign to stop live exports from Australia.
The group says it will reveal alleged abuses in slaughterhouses in several Gulf
countries at a press conference next week in Dubai.
Incitec Pivot to buy Southern Cross
In a complex stock market deal, superphosphate fertiliser company Incitec Pivot

has announced it plans to buy out Australia's only producer of ammonium phosphat
es, Southern Cross.
Trading in Incitec Pivot shares has been halted for two days while share holders
learn details of the deal, which includes Orica selling its 70 per cent share h
olding in Incitec.
Incitec will recommend share holders buy back Orica shares.
Chairman of Incitec Pivot John Watson says the 35,000 farmers with shares in the
company should enjoy significant growth in profits.
"All this does is add to our manufacturing base a very important strategic asset
, not only for our business but for the farmers of Australia as well," he said.
Scientists successfully grow southern bluefin tuna cell cultures
In a world first, South Australian scientists have grown cell cultures of the so
uthern bluefin tuna.
Flinders University and the CSIRO have grown the cells so they can experiment wi
th antioxidants to extend the shelf life of tuna and test for viruses.
Dr Kathy Schuller from Flinders University says it is much cheaper than using li
ve tuna worth $50 a kilogram.
"We can test 24 different concentrations and combinations of antioxidants at a t
ime," she said.
Unwanted grapes to be used in non-alcoholic sparkling wine
A small group of grape growers in South Australia hope to use up their unwanted
fruit by cracking into the non-alcoholic sparkling wine market.
The Virginia Horticulture Centre, north of Adelaide, has begun a pilot project t
o see if it is viable.
Dingoes may be used to sniff out cane toads
Enlisting dingoes is the latest suggestion to help keep Western Australia free o
f cane toads.
Dog trainer Sarah Fyffe has applied for a licence to use dingoes as sniffer dogs
at the border and in bushland between Western Australia and the Northern Territ
ory.
She says dingoes are naturals for the outdoor job,
"We're not talking about working in a building, we're not talking about working
in an airport, we're talking about working in rugged terrain," she said.
"[It is] very unforgiving - and where's the dingo from? That's its natural habit
at and they cope brilliantly with it and know how to handle the elements."
Budget good news for rural Australians
There is a fair bit of good news for rural Australia out of Treasurer Peter Cost
ello's 11th Budget.
There is more than $2 billion in extra funding for roads and rail, money for the
Murray River and a big crackdown on illegal fishing.
There are also wide ranging tax cuts, which are supposed to leave more money in
our pockets and changes to capital gains tax to make it easier for farmers to pa
ss on their properties.
President of the National Farmers Federation Peter Corish is certainly happy.
"This Budget is probably the most positive budget that Treasurer Costello has de
livered for rural Australia," he said.
"NFF had three major priorities leading into this Budget, the first one was sust
ainability, the second one was infrastructure and the third one was taxation rel
ief for rural Australia.
"And I can say that positively we've had movement on all three areas."
More rural Australians will also be able to access the aged pension.
There will also be incentives for farm and mining businesses to invest in new pl
ant and equipment with changes to depreciation rates.
There will also be around $50 million for extra mental health services in countr
y areas.

Vaile starts Budget sell

The Deputy Prime Minister and leader of the Nationals, Mark Vaile, has been out
this morning telling rural areas the Budget sets up the bush to take advantage o
f the current resources boom through big infrastructure spending.
He is especially proud, as most National party members are, of the $2.4 billion
in roads funding he says the Nationals have helped secure.
"If you are talking about regional Australia, my view is one of the most importa
nt targeted components in this budget is that $307 million of extra money direct
ed at local governments for local roads and bridges this year, they're the impor
tant things to regional Australia," he said.
When Australia's peak rural lobby group the National Farmers Federation says thi
s is the best Budget in 11 years, that should not leave too much room for the Op
position to be critical.
But that has not stopped Labor's agriculture spokesman Gavan O'Connor describing
the Budget as missed opportunities.
His point is you can have all the new bitumen in world but if it is not too dear
to drive on that bitumen because of high fuel prices and higher interest rates,
well the big spending backfires.
He is also talking up what he says is the Government's failure to target its inf
rastructure spending, failure to address environmental issues and failure to eas
e skills shortages in regional areas.
"No mention of the productivity challenge and no attempt to get on top of the fo
reign debt," he said.
"No attempt to address the massive skills crisis in rural Australia and there's
no movement on the last great frontier for Australian agriculture that is the re
generation of our soils.
"There is no attempt to engineer through these expenditures a new wave of resear
ch and innovation in the rural sector.
"On that basis I think there will be some significant questions asked about this
Budget."
Punters
What do the punters think of the Budget?
"For me, I'm in a retirement age so the amount that I can earn tax-free has gone
up, the threshold there, so I think the threshold for low-income earners has be
en very good," one person said.
"It's quite encouraging about the water, that's going to be the biggest problem
and I think people in the towns have got to realise that they've got to pay more
for their water and not be so greedy and they've got to do something about stor
age," another said.
"I think the Budget lacks vision because it should have looked at the longer ter
m infrastructure issues and I just think that politicians are driven by short te
rm decision making all the time which we pay a big price for," a third person sa
id.
Economist warns about spending
The tax cuts are expected to ease pressure on rural households which have faced
higher petrol prices and grocery bills in recent months.
The experts say while the cuts will not put pressure on interest rates in the sh
ort term, there are no guarantees the Reserve Bank will not increase rates towar
ds the end of the year.
ANZ chief economist Saul Eslake says there are still reasons to be cautious abou
t spending.
"Even allowing for the fact that people in rural areas tend to drive longer dist
ances than those in the city, the tax cuts are enough to offset the most recent
roughly 10 cent a litre increase in petrol prices and the rise in interest rates
," he said.
"But any further rise in petrol prices or indeed in interest rates would probabl
y be sufficient to eliminate the benefits of the Budget tax cut altogether."
Meanwhile Treasurer Peter Costello told a media conference yesterday the only wa

y fuel prices will come down is if the cost of crude oil falls.
There is more than $11 million allocated for two new studies on the use of biofu
els but Greens Senator Christine Milne says Mr Costello is wasting his time spen
ding up big on roads, when it is becoming too expensive to drive on them.
"He's about the only person in Australia who doesn't see increasing oil prices a
s a major issue," she said.
Industry group concerned about lack of initiatives
There is concern about a lack of initiatives in the Budget to improve the nation
al skills base and tackle the labor shortage in Australia.
Although new measures have been announced to make it easier for overseas workers
, the Australian Industry Group says the Budget should have made more progress i
n big nation building projects.
While happy with many of the initiatives announced for business and the road fun
ding, Heather Ridout says there is a long way to go to provide the necessary inf
rastructure to improve productivity and cope with future demand.
"I think that's another area where there could have been more done," she said.
"They're certainly bringing forward some of the spending which is important, som
e increase in road funding but it needs a more coherent plan.
"We still need better interaction between road and rail, I think we still need m
ore of a national plan and that's got to be really agreed between the states bei
ng very big spenders in this area.
Little in budget to encourage exploration, says mining group
The WA Chamber of Minerals and Energy says there is little in the Budget to enco
urage exploration in the resources sector.
The industry wants a flow-through shares scheme to boost exploration but did not
have any joy last night.
Chamber director David Parker says more needs to be done there as well.
"This is something which industry has been arguing for a number of years," he sa
id.
"We see exploration as very much the future of the resources industry.
"We are tending to rest on our laurels in terms of the future sustainability of
the industry.
"I think if you look at the medium to long term outlook for renewing Australia's
resources inventory we really are at cross roads.
Budget fails to tackle climate change, green groups say
The Federal Government has come under fire from green groups, which claim the Bu
dget fails to tackle climate change.
The major allocation in environmental spending is $500 million for the Murray Da
rling Basin Commission.
That money will fund projects like salt interception schemes, fishways, local an
d weir upgrades, and possibly buying water from farmers.
South Australian River Murray Minister Karlene Maywald says the money has been d
esperately needed.
"Projects were underfunded, the Murray Darling Basin Commission was underfunded,
our projects that we all agreed to from a jurisdictional point of view were all
starting to slip and it looked like we were never going to achieve what we need
ed to do to save the River Murray," she said.
Budget boosts funding for illegal fishing fight
The Federal Government has announced a big crack down on illegal fishing in Aust
ralia's northern waters.
The $389 million package is designed to double the number of boats apprehended e
ach year through increased surveillance and patrols, along with improved boat-bu
rning facilities to destroy illegal fishing boats.
Indigenous coastal rangers will also be employed as part of the plan but Gary Wa
rd from the Gulf of Carpentaria Commercial Fishermen's Association says the mone
y is being used in the wrong way.

"Spending this money on Aboriginal communities is very fine but you're talking a
bout a radius of probably 25 kilometres each side of the community," he said.
"Now these boats range widely over the Gulf of Carpentaria, we need more surveil
lance but we need more active now, the fishing fraternity in the Gulf of Carpent
aria that's worked so hard for a sustainable and viable fishery has been left ou
t in the lurch."
Plan unveiled to secure veg industry future
A new $3 million strategy to secure the future of the vegetable industry has bee
n unveiled in Brisbane this morning.
VegVision 2020 is the product of months of talks between growers, the Federal Go
vernment, supermarkets and food processors.
It is a $3 million plan with a very simple message - how to lift the industry's
growth from an unsustainable 3 per cent by getting more vegetables on consumers'
plates.
Fair Dinkum Food Campaigner Richard Bovill is a member of the Australian Vegetab
le Industry Development Group and says growers must work with retailers and proc
essors if they are to secure their future.
"There are adversarial issues out there, there will always be competitive pressu
res but we also have to understand our common goals and work together with those
," he said.
"I think we can look to a range of different industry models and we shouldn't ju
st look at vegetables and the horticultural sector."
US Farm Bill debate begins
The battle has started early in Washington over the next US Farm Bill, due to be
drafted next year.
The White House and Congress do not see eye to eye on farm policy.
While US Agriculture Secretary Mike Johanns and the White House are calling for
sweeping changes in US farm policy, lawmakers are defending the status quo.
Top Democrat on the House Agriculture Committee Collin Peterson told a farm bill
field hearing in Texas, US agriculture should not be singled out for cuts.
"This budget talk irritates me a little bit because agriculture did not cause th
ese budget problems. And I do not agree that we ought to be the ones that have t
o pay the price because we've actually saved money," he said.
Row erupts between Grains Council and Agriculture Minister
A rift has emerged between Federal Agriculture Minister Peter McGauran and Austr
alia's peak grain lobby.
The Grains Council is outraged that the oil-for-food inquiry is being used as an
excuse to backflip on plans to reduce a key levy for the Wheat Export Authority
.
The council wanted the industry levy reduced from 22 cents a tonne to 19, leavin
g the authority with a million dollar cash surplus.
Spokesman David Ginns says the surplus will now be doubled and has accused Mr Mc
Gauran of ignoring growers.
"There have been a number of matters that we've raised with him where he hasn't
taken the advice of the key industry body and we are concerned that our batting
average is not particularly good at the moment and we seem to be getting some ex
cuses back at the moment," he said.
But in an unprecedented attack on a peak commodity council, Mr McGauran has accu
sed the Grains Council of acting dishonourably and not working in the best inter
ests of growers.
Mr McGauran says the council has also deliberately leaked confidential ministeri
al documents and spread misinformation.
"I believe this is an ill-considered and ill-timed intervention by the Grains Co
uncil which is more puzzling than anything else," he said.
Saltbush shrubland plan angers graziers
Graziers in western New South Wales are furious about a proposal to list old man

saltbush shrubland as endangered.

The New South Wales Scientific Committee has found saltbush shrubland has fallen
by 70 per cent since European settlement and the rest is at risk of extinction
from clearing and grazing.
But Graham Morphett, who has a property north-west of Hay, says the plant is thr
iving in the western division due to good management and rabbit control.
"I've got 170,000 acres out here and I have tens of thousands of acres of old ma
n saltbush with up to 5,000 acre stands," he said.
Calls to scrap WET tax
The Western Australian wine industry wants the Wine Equalisation Tax (WET) aboli
shed despite a big Budget boost.
The Federal Government has increased tax rebates to smaller wine producers by $2
10,000.
They are available to producers with up to $1.7 million in sales.
But Ron Fraser from the Margaret River Wine Association says it is band-aid ther
apy, which is lulling smaller producers into a false sense of security
"It's avoiding the issue that the WET tax is an impost on the cost of wine and s
hould be scrapped altogether," he said.
"The only way that you can get the benefits from this extra threshold is to incr
ease your sales and in today's market to increase your sales is an increasingly
difficult job.
Grape growers mull mothballing vines
Grape growers in South Australia's Riverland are considering mothballing their v
ines, hoping to ride out the industry's oversupply.
Many local growers could not sell their fruit this year, with wineries suspendin
g or not renewing contracts.
With no relief in sight, growers say they could prune heavily or use chemicals t
o hinder fruit growth to hibernate vines instead of having to pull them out.
Berri grape grower Bill Ruediger says he will have to make a decision very soon.
ACCC to investigate Sunbeam price-setting
The Australian Competition and Consumer Commission (ACCC) will investigate wheth
er dried fruit processor Sunbeam Foods breached the Trade Practices Act in setti
ng low prices this season.
ACCC Commissioner John Martin held talks with growers in Mildura in north-west V
ictoria this week after the Victorian Farmers Federation lodged complaints of un
conscionable conduct by the industry's major processor.
Growers claim Sunbeam is taking advantage of its virtual monopoly position in th
e industry, and has set prices at a 20-year low.
Rural property values tipped to even out
Rural property values have doubled and in some cases tripled in just four years,
outperforming most other capital investments.
But they could be about to come off the boil.
Wayne Carlson from the National Australia Bank says prices are expected to even
out in the next 12 to 24 months.
"We probably don't really expect prices to come down," he said.
"We expect more a plateau effect.
"These may be some discount in the lower, standard and marginal type lends. And
there's no doubt the trend of this off-farm investment super funds, managed inve
stment schemes et cetera will continue to tip money into this market.
Plantation tax reform plans unveiled
The Federal Government has unveiled proposed changes to tax incentives for inves
tors in the plantation timber sector.
The incentives, which currently provide 100 per cent tax deductions for managed
investment schemes, have been under review for the past 12 months.
Dr Judy Clark, from the Australian National University (ANU), says the draft cha

nges which will affect investor interest.

"Putting a cap on the immediate volume of money that can be tax deducted and you
also add on that reduction in top marginal tax rat from 47 to 45 per cent, both
of these work to down play the attractiveness of these schemes for investors,"
she said.
"We don't need to plant more softwood to meet Australia's entire timber needs.
Marine park boundaries 'botched'
The Marine Conservation Society (MCS) wants changes to the way boundaries are es
tablished for national marine parks.
It says the new park between Tasmania and the mainland is a botched job, which f
ails to protect marine biodiversity.
The park's boundaries were redrawn after concerns from the fishing sector.
The MCS's Craig Bohm says the revised boundaries have missed biodiverisity hotsp
ots, and the Federal Government must review the process.
G-G heads up Birdsville Track
Governor-General Michael Jeffrey has embarked on a journey up the Birdsville Tra
ck to attract attention to life in the outback.
Accompanied by his valet, doctor, physio and other escorts, the Governor-General
will spend five days meeting people from remote communities as part of the Year
of the Outback.
Major-General Jeffrey hopes the trip will inspire others.
"I hope to expose the characters the lifestyle, some of the difficulties of cour
se," he said.
Leaping croc shocks scientists
An airborne four-metre crocodile has made scientists' hearts skip a beat during
research on the Ord River in the far north of Western Australia.
Scientists had been using an electrical current to temporarily stun fish, so as
to study them.
But they accidentally sent a shock wave through a nearby crocodile.
Scott Goodson from the Department of Environment says the jumping croc gave ever
yone a start.
"He breached the water, he got a metre out of the water, that's a big croc!" he
said.
"He got a fairly good tickle up, I would have thought!"
Mr Goodson says the reptile is probably just a bit stunned after the accidental
shock treatment.
"He's probably taken off and just kicking back behind another rock, I don't thin
k he will come too close to that boat again," he said.
AWB hopes to salvage India wheat deal
Wheat exporter AWB hopes last minute talks can salvage a half million tonne whea
t deal with India.
Indian authorities have raised new concerns about quality issues, this time with
wheat which has not even left Australia.
The first consignment of wheat under the deal was held up last week while tests
for pesticide contamination were carried out. Those tests cleared the wheat for
unloading.
National pool manager with AWB David Johnson says the company is trying to limit
the damage to growers, with the national pool bearing any cost of delays.
"We are looking to mitigate an exposure, cost to growers, by potentially diverti
ng some of those vessels to other markets," he said.
Cole inquiry hears from ex-UN customs official
The Cole inquiry has reconvened in Sydney to hear the evidence of former UN cust
oms official Felicity Johnston.
Ms Johnston has told the inquiry she informed Australian Government officials in
both Washington and New York about inland transport fees being paid by AWB to t

he Iraqi Government.
Ms Johnston appeared at the inquiry via video link from Washington.
She told senior counsel assisting John Agius she mentioned the inland transporta
tion payments in discussion with DFAT's delegate at the Australian mission to th
e UN, Bronte Moules and with AusTrade Commissioner Alistair Nicholas.
Ms Johnston said she raised the issue in January and March 2000 following a comp
laint from the Canadians.
Govt accused of using Budget to shore up Nationals' vote
The Federal Government has attacked Labor's plans for a national high-speed broa
dband network, accusing it of allocating rural telecommunications money to the c
ities.
But Labor leader Kim Beazley has used his Budget reply speech to criticise the G
overnment for basing roads spending on shoring up National party votes.
Mr Beazley says Labor would provide free Tafe for traditional trades, more child
care places across Australia and put a stop to importing foreign apprentices.
He also criticised the Government for failing to invest in climate change resear
ch, do more to tackle water shortages and laid down plans to provide all busines
ses and households with fast Internet.
"To you and me this means a broadband system 25 times faster than the sorts of s
peeds available in Australia today," he said.
But the Government says Labor plans to spend $2 billion earmarked for rural tele
communications to fund broadband in the city.
And National Farmers Federation president Peter Corish says money Labor wants fo
r its plans is already being spent.
Heemskirk wind farm mothballed
The Federal Government's decision not to increase renewable energy targets is be
ing blamed for a decision to mothball Tasmania's $300 million Heemskirk wind far
m.
Tasmanian energy company Roaring 40s says it remains committed to existing Austr
alian projects but will be wind back work on new developments.
Managing director Mark Kelleher says there are no incentives for electricity ret
ailers to buy wind energy, making Heemskirk unviable.
Controls on explosive chemicals sales to be tightened
The Queensland Government is further tightening controls on the sale of explosiv
e chemicals after the arrest of a Brisbane man found to be in the possession of
53 kilograms of explosives.
The Government will meet with farm and mining groups in Brisbane today to discus
s the implications of the new controls.
Police allege a Brisbane high school teacher illegally purchased the explosive P
owergel from chemical company Orica under the pretense of using it for movie stu
nts.
The 40-year-old is expected to be the first Queenslander charged with terrorism.
The Queensland Government has announced sellers of chemicals, like ammonium nitr
ate used by farmers, will need to report fortnightly to the Government on who th
ey sell explosive materials to and even call the Department of Natural Resources
to double-check the details of new and existing customers.
NQ wildlife to benefit from grape glut
Grape growers are having trouble getting rid of their fruit this year, but one s
olution has been to send it to north Queensland, to feed hungry wildlife.
With habitat destroyed by cyclone Larry, surplus grapes from Lopresti Wines in S
outh Australia are being fed to birds like the Southern Cassowary.
Scott Sullivan from Queensland's Parks and Wildlife Service, says they are happy
to get them.
Cape calls for cyclone assistance
Graziers, tourism operators and Indigenous communities on Cape York are calling

for immediate financial help from the Federal Government in the wake of Cyclone
Monica.
The cyclone brought heavy rain and severe flooding to the cape, and graziers say
there been widespread damage to roads, and huge stock losses.
The Cape communities want to know why they cannot access the same assistance off
ered to victims of cyclone Larry.
Cape grazier Darcy Burns says they are desperate.
"It looks like Larry's got everything," he said.
"We're not hearing one word on Monica, I think people have forgotten how much da
mage that's done up there.
"We understand fully about Innisfail's done and they need all the support they c
an get, we're not knocking that at all, but they've also got to look at us as we
ll, there's people up there at the moment, we've lost our income for the next 12
months because we can't get in there, and the season's so short now."
WA farmers unhappy with state Budget
The Western Australian Government has handed down its budget, but it has failed
to excite the agricultural sector.
The Government has confirmed a surplus of $2 billion for this financial year, wi
th the windfall to pay for the Perth to Mandurah railway.
Trevor de Landgraft from the WA Farmers Federation says rural people have been i
gnored.
Rural jobs hard to fill: survey
A joint federal and Victorian government survey suggests one third of rural empl
oyers cannot fill job vacancies.
The survey of the Wimmera Grampians region is being rolled out across the state,
with the results to be compared with other states and territories.
Penny Ireland, from the Department of Employment and Workplace Relations, says p
rofessional and trade positions in health, finance and construction are the hard
est to fill.
"There were a lot of health related professional occupations so general practiti
oner, registered nurses, occupational therapists, physiotherapists. There was al
so a number of trades positions, in particular motor mechanics, which we see acr
oss the country and electricians," she said.
Meanwhile, grey nomads are being used to temporarily fill some of the shortages
in central Australia.
Under the Outback Links program, retired travellers are helping to fix the plumb
ing, or mind children on outback stations , in exchange for a taste of remote li
ving.
Gold Coast retiree Bobbie Perkins is the first volunteer to be placed, and says
helping with the housework on New Crown Station, south of Alice Springs, is actu
ally a good way to learn about rural Australia.
Biosecurity plan to protect northern WA
Australia's first regional biosecurity plan is being launched today in Kununurra
, in the far north of Western Australia.
Ord Guard will educate groups from local Indigenous communities to travellers, o
n plant disease threats and prevention in the Ord River region.
With up to 120,000 visitors passing through each year, Dr Simon Mckirdie from th
e CRC for Plant Biosecurity, says educating tourists is a key part of the plan,
Seafood lovers to feel the pinch on crab prices
Commercial crab fishermen in the Northern Territory say they are potting just ov
er half the number of crabs they used to, because of new catch size rules.
The minimum catch size of both female and male mud crabs has increased by a cent
imetre, but anglers say there are not many around at this time of year.
Melbourne seafood wholesaler, Spencer Wilkinson says diners could be wrestling b
igger crabs on the dinner plate in the future, if they can afford them.
"It will just price itself out of the market and what happens is, when it gets t

o exorbitant levels, the Sydney market soaks up basically all the crab," he said
.
Govt tight-lipped on Snowy Hydro sale
The New South Wales Government has confirmed an international offer for Snowy Hy
dro, but says it needs to keep tight-lipped on the details.
State Finance Minister John Della Bosca said yesterday any discussion of detail
before the release of the prospectus would incur the risk of litigation.
But Lester Wheatly, chair of the Murray Valley Community Action group, says it i
s just an excuse to keep the public in the dark.
"The Government attitude is that "look here, we're involved in very sensitive in
ternational negotiations at the moment and can't tell you anything". At the end
of the day, that's just not good enough.
Two in running for peak farm job
Australia's top job in agripolitics will be contested for the first time in four
years, with Peter Corish set to step down as president of the National Farmers
Federation.
NFF trade representative Allan Burgess and former Meat and Livestock Australia c
hairman David Crombie have nominated for the key post.
Mr Corish will not comment on speculation he will contest the seat of Gwydir in
the next election, which will be vacated by former deputy prime minister John An
derson.
He says water reform and more money for rural telecommunications have been major
achievements during his presidency.
"The National Water Initiative I think is a key opportunity that we've locked in
while I've been NFF president," he said.
"We've made significant progress in the area of workplace reform, we have locked
in significant funding for rural Australia in regard to telecommunications, and
I've enjoyed my time immensely over the four years."
Board elections will be held at the next NFF annual general meeting on June 14 a
nd 15.
Meanwhile former executive director of the NFF, Rick Farley has died.
Mr Farley was making a slow recovery after a stroke, but died from injuries he r
eceived after falling from a wheelchair outside Sydney's Balmain Hospital at the
weekend.
In the mid-70s Rick Farley became the first executive director of the newly form
ed Cattlemen's Union (CU) in Queensland.
With a background in the arts, time spent in the hippy capital of Nimbin and a j
ob with Labor health spokesperson Doug Everingham, Mr Farley was not an obvous c
hoice to head up the organisation, most of whose members were staunch National P
arty supporters.
But from his days in Rockhampton with the CU, the farmers' rally in 1985 in Canb
erra, the foundation of the Landcare moverment in the late 80s and then the nati
ve title debate in the 90s Rick Farley was a smart political operator, In Canber
ra he cut a distinctive character in moleskins, boots and Akubra and as Cattleme
n's first preisident Sir Grahman McCamley says he was an extremely effective lob
byist on behalf of the farm sector.
Vaile leaves door ajar for Katter
Leader of the National Party Mark Vaile says he would push for another ministry
position if Queensland Independent Bob Katter rejoined the party.
There is speculation Mr Katter will seek membership of the Nationals, after cont
esting the last election in his seat of Kennedy as an Independent.
The Nationals lost a ministry position earlier this year when Senator Julian McG
auran crossed to the Liberal Party.
Mr Vaile has told the Nine Network he is keeping an open mind about Mr Katter.
"Politics is about numbers and if someone wants to commit to the ideals and the
philosophies of our particular party or our government then they're most welcome
, so I'd keep an open mind on that particular matter," he said.

Opponents speak out against Qld dam proposal

More than 3,000 people attended a weekend protest rally in the Queensland city o
f Gympie, to fight the proposed Mary River Dam.
The State Government is planning a 660,000 megalitre dam at Traveston Crossing,
south of the city, to supply the water needs of Brisbane and the Sunshine Coast.
The Government made its first property acquisition late last week, only days aft
er announcing a $50 million package to begin the buyback process.
Local mayors, a federal member of parliament, conservationists and landholders a
ddressed the public meeting.
Farmer Ian Allen says a fighting fund has also been established.
"My farm is affected as much anyone else's," he said.
"I've spent a long time getting where I want to get, I just felt like I'm there,
and this announcement of a dam has put me back where I started 20-30 years ago.
Lamb production springs to new high
Australian lamb production hit a new record during the first three months of 200
6, despite challenging seasonal conditions.
Meat and Livestock Australia says the average jump of 8 per cent came as a surpr
ise, with the biggest gains in Victoria and WA, where there is a continuing shif
t away from growing wool.
Despite the growing stock numbers, exports are up and prices remain just 10 per
cent under the all-time highs.
Grazier Peter Small from Victoria's western district, says it breaks his heart t
o turn away from wool, but there is a lot more money to be made out of lamb.
"Well it is what we have done but we are reluctant to do it," he said.
Farmers log on to livestock sales
Rising fuel costs and more user-friendly technology are said to be driving a jum
p in the number of farmers selling livestock over the Internet.
Elders sells around 3 per cent of Australia's sheep, lambs and cattle in online
auctions.
Jack Gleeson from Elders says it is saving farmers the cost of trucking livestoc
k to saleyards.
"Normally there would be freight involved from the point of origin, the vendor's
property to the saleyard," he said.
Big drop in US wheat production tipped
The US Agriculture Department is tipping an 11 per cent drop in wheat production
there over the next 12 months.
The latest forecast is for a total harvest in 2006-07 of $1.8 billion bushels.
USDA World Agriculture Outlook Board Chairman Gerald Bange blames chronic drough
t and tough competition from Australia and Canada for lower exports.
"We're looking at exports, beginning June 1 at about 900 million bushels, which
would be about 100 million bushels lower than we will export in the 2005/06 year
, which is currently estimated at an even 1 billion bushels," he said.
Mr Bange says part of the reason is a stronger US price forecast in '06/'07 due
to lower production and tighter ending stocks.
Wheat prices look set to improve on the back of the USDA report, which has also
revealed a substantial increase in corn exports.
There is also higher domestic demand in the US for corn to make ethanol.
Natham Omodei from commodity trader Plum Grove, says that should make wheat more
attractive as feed for livestock and drive up prices.
"They increased use for ethanol production, which really cut their stock forecas
ts for 2006-2007," he said.
NSW Govt announces department restructure
The New South Wales Government has announced a major restructure of the Departme
nt of Natural Resources in a bid to save $16 million a year.
Fifty employees are being moved from Sydney to Orange, and voluntary redundancie

s are being offered for non-frontline staff.

Farmers are also worried about a decision to scrap regional director positions.
But Jeff Angel from the Total Environment Centre says the changes will speed up
reform.
"You're not going to get the unbelievable and untrustworthy level of inconsisten
t decision-making that we had under the previous system," he said.
"You can go way too far in having autonomous regions.
Fly slows weed threat in Timor
A natural predator is slowing the spread of the world's worst weed across our no
rthern neighbours.
The stem galling fly has been introduced across East and West Timor, to control
siam weed.
Researcher Rob Williams says the Australian-funded project also reduces the chan
ce of the weed gaining a foothold in the Northern Territory.
"Siam weed can be seen in 90 per cent of the countryside in East Timor, and it c
overs the grasslands," he said.
The (stem) gall flies are re-producing here. They released 200 gall flies here l
ast year. The gall flies survived through the dry season and are growing here no
w.
Tassie farmer recognised by vege industry
A Tasmanian potato farmer has been named the Young Vegetable Grower of the Year,
for his leadership during the Fair Dinkum Food campaign.
Matthew Ryan from northern Tasmania was honoured at the national conference of A
usVeg in Brisbane at the weekend.
He says the campaign raised the profile of the vegetable industry, but there is
still more to be done.
Royal Flying Doctor Service turns 78
The Royal Flying Doctor Service (RFDS) is celebrating its 78th birthday today.
Reverend John Flynn established the Flying Doctors at Cloncurry in north-west Qu
eensland back in 1928.
Senior flight nurse at the Mount Isa base, Mary Noon, says the RFDS has come a l
ong way since then, but still plays an essential role in remote areas.
"One day you can be delivering a baby, and the next day you're helping somebody
with chest pain, so it's a huge variation," she said.
"You get to meet such a variety of people, you get to see new places, different
places every day as opposed to the ward.
Mining losses a correction, say analysts
The mining sector has had a rough couple of days, with metal prices falling shar
ply on the commodity markets overnight.
Copper was the biggest loser, at one stage falling 9 per cent, with gold down 4
per cent, and silver 5 per cent.
But analysts say it is not a global market meltdown, merely a long overdue corre
ction on the minerals boom.
Malcolm Condie, from AWB Landmark, says the mining sector has taken the biggest
battering, and agricultural commodities should escape relatively unscathed.
He says the fundamentals for wool prices are unchanged, the poor US crop has str
engthened wheat prices and demand from Asia and India for other agricultural com
modities will continue to strengthen.
"I don't see any further risk or downside risk for wool at this stage," he said.
"We might see the market just tread water for a little while now.
"Obviously grain, wheat is on a bit of an upward spiral and I mean generally the
re is no correlation between those and the other mineral commodities that we exp
ort. But obviously as far as food stuffs go people have to eat and I think we ar
e going to see a lot more going into Asia."
Rising inflation fears in the US have largely contributed to the weaker commodit
y prices.

The All Ordinaries Index had fallen 93 points at the close of trade yesterday, w
ith bulk-commodity companies like BHP Billiton and Rio Tinto the hardest hit.
Chris Monroe of Hartleys says it was the correction the market, "had to have."
"Another cliche, the market was, "priced to perfection" I think," he said.
NFF contender seeks to build trust between cities and bush
The man widely tipped to be the next head of the National Farmers Federation (NF
F) says his main priority will be rebuilding trust between urban and country are
as.
The former chairman of Meat and Livestock Australia David Crombie, has been aske
d to run for the NFF presidency by two state farming groups.
He says farmers need the support of city people to defeat extreme animal rights
groups, which he says is a key issue for Australian agriculture.
Mr Crombie, who lives in Brisbane, says he is not a typical farmer, but does not
think that stops him being an effective leader of Australia's most powerful rur
al lobby group.
"No, I'm certainly not an average farmer because I currently live in Brisbane, b
ut certainly my interests are in agriculture and all of my professional life I'v
e been involved in agriculture. I believe I have something to offer. I believe I
can make a difference," he said.
NSW farmers chief quits
The chief executive of the New South Wales Farmers Association has resigned, eff
ective immediately.
Dr Ray Johnson has completed only two years of his three year contract, but the
association will not say whether he will be paid out.
President Jock Laurie rejects suggestions the former chief executive was pushed
by a divided board.
Cool reaction to Qld water plan
The Queensland Government is looking to buy two large cotton properties in the s
tate's south-west to return water to the Murray-Darling Basin.
The buy-up is expected to cost up to $60 million and deliver 58,000 megalitres o
f water a year over the New South Wales border.
The Federal Government rejected a similar proposal four years ago to purchase th
e huge Cubbie Station.
Grazier Pot Peterson is among New South Wales landholders who have been critical
of the amount of water Queensland irrigators take out of the Condamine-Balonne
river system, and says this plan will not be very beneficial.
"I'm not saying that they shouldn't purchase it, but I just think it would be fa
r more beneficial if they purchased something upstream that would have a big aff
ect on us, because really the water virtually stops at Cubbie," he said.
"As we saw in the 2004 flood they did have a big flood at St George but we didn'
t get any of it here."
The plan will be out to the Murray-Darling Ministerial Council meeting in Melbou
rne on Friday.
Meanwhile the Cubbie Group, which runs Cubbie Station, has slammed calls by the
New South Wales Government for its water allocation to be reduced.
The station can store 500,000 megalitres of water for its cotton-growing operati
on, and graziers south of the border complain they are being starved of crucial
flood water flows.
But joint managing director John Grabbe says New South Wales should fix up evapo
ration losses in the Menindee Lakes in the state's west, before attacking Queens
land's science-based water allocations.
"Oh get your own house in order, but let's be fair dinkum, not just throw stones
at each other, but let's be fair dinkum," he said.
"I mean, water is too valuable a resource to be going up into the air in shallow
storage systems. Now we don't do it at Cubbie, and I implore the southern state
s to seriously look at their storage systems.
Federal Agricultural Minister Peter McGauran says the CSIRO is scare-mongering,

with a report calling for bigger environmental flows for the Murray River.
An extra 500 gigalitres has already been committed to the Murray, but the scient
ific body says up to five times more will be needed to restore the river's healt
h.
Despite criticising that finding, Mr McGauran acknowledges progress has been slo
w on the Living Murray Initiative, and says the report will be considered.
Eldest children not always the best farm managers: research
New research has shown the tradition of passing the farm onto the eldest child c
ould be costing the sector its best talent.
Psychologist and social researcher, Dr Ian Ploughman, says by nature, older chil
dren are more conservative.
He says younger siblings tend to be the most innovative and creative, but do not
have the opportunity to contribute.
"The younger brothers and sisters commonly have less interest in staying on the
farm, and are more creative and more mobile," he said.
Debt an obstacle to wool merger
The wool industry remains committed to a merger between its promotion and resear
ch arms, despite a dispute over a $27 million debt.
Australian Wool Services, which owns the Woolmark brand, is seeking financial he
lp from the Federal Government to pay the debt, without success.
The owed money relates to a pension fund for former UK-based employees.
Chairman of Australian Wool Innovation Ian McLachlan says he understands the Gov
ernment's position, but there will not be a merger between the two companies unt
il the bill is paid.
"I've been in government and I think when a government has a position, it has to
repeat that position, and it will hold that position until somebody comes up wi
th a really bright idea as to how we can solve it," he said.
AWB searches for new market for stranded wheat
Wheat exporter AWB says it is trying to find another market for a shipment of wh
eat stranded at Geraldton in Western Australia, due to a quarantine dispute with
India.
The ship has been docked for a month, while talks have been under way to resolve
the problem.
The ship is expected to be loaded today.
Paul Ryan, AWB's industry relations manager in WA, says two other vessels have b
een unloaded successfully in India, but he cannot say why this vessel has been i
n port for so long.
"It is more to do with a range of quarantine restrictions, in terms of bringing
wheat into India," he said.
WA exercise to test response to foot and mouth outbreak
An operation dubbed "Exercise Wild West" starts today in Western Australia to te
st the ability of authorities to fight a foot and mouth disease outbreak.
The simulated exercise will run until Friday, and involves 180 people from the D
epartment of Agriculture and Food and other agencies.
Director of Animal Biosecurity Ashley Mercy says an outbreak in Australia simila
r to the 2001 United Kingdom outbreak would cost the Australian economy about $1
5 billion.
Northern growers put price cap on bananas
It is pretty rare for producers to knock back money, but with soaring prices a s
mall group of north Queensland banana growers have decided to put a price cap on
their fruit.
Pacific Coast Eco Bananas, which won an award last night for farming in an envir
onmentally sustainable manner, says sustainability needs to apply to all sectors
of the business.
In the wake of cyclone Larry some bananas have sold for more than $100 a carton,

but the company's Dianne Sciacca says that level cannot be sustained, with the
price cap set at $70.
"I think if you're serious about sustainability, you have to live within a susta
inable business environment as well and we ask a premium price for our product o
f which that is supported by the supermarkets and our customers in the market pl
ace," she said.
Scientists consider climate change challenges
Scientists are meeting in Sydney today to tackle climate change.
The scientists from CSIRO, the Bureau of Meteorology and the Greenhouse Office a
re debating strategies they say need to be implemented to adapt to the changing
climate.
Principal scientist with the CSIRO, Kevin Hennessy says it is likely farmers wil
l be forced to make big changes.
"We would need to look at improving water use efficiency, water recycling, so re
duce the amount of evaporation from some of our irrigation channels, and smarter
ways of farming, for example direct drilling of seeds, retaining the stubble to
reduce both erosion and water usage, and I guess some challenges for the types
of crops that we use," he said.
Land use bid concerns fishing industry
Members of the aquaculture and fishing industries on South Australia's Eyre Peni
nsula say they are worried about the possible impact of Aboriginal claims over t
he region's coastal waters.
Negotiations have begun for Indigenous Land Use Agreements (ILUA), covering coas
tal land and waters from Cowell to Venus Bay.
Michael Whillas from the Seafood Council of South Australia says because the pro
cess is new, there are uncertainties about the future legal status of aquacultur
e leases and fishing rights.
"The problem that we face is that under the Native Title Act, a native title cla
im is extinguished when there is an existing licence or lease," he said.
"Under the ILUA, that doesn't necessarily happen. At this stage, there are some
grey areas.
Group opposes giving national parks back to traditional owners
A campaign to prevent 17 national parks being returned to their traditional owne
rs has stepped up in the Northern Territory.
The Territory Government intends to hand over the land title to traditional Indi
genous owners, and then lease it back for 99 years under a joint management plan
.
With plans to circulate petitions, Save Our Parks campaigner Francoises Builder
says there is plenty of opposition to any single group owning parks.
"Parks are free, they are for everybody, so why handing it to a group of people
and then leasing it back with taxpayers' money for a million dollars a year?"
"And it is true when you are giving away for example Bondi Beach it's exactly th
e same thing, we have nothing else to go to."
Infrastructure costs hold up Ord irrigation scheme
Infrastructure costs are the latest hurdle for expansion plans in the nation's b
iggest irrigation scheme, in Western Australia's far north.
Native title settlement last October raised hopes of a quick go-ahead for Ord St
age 2 but six months on there is still no movement.
The scheme would more than double the existing irrigation area in WA, with more
than 30,000 hectares earmarked for development.
WA's Minister for Agriculture and Food Kim Chance says a decision is imminent, b
ut it is a matter of deciding how much should be paid for roads, power and irrig
ation works.
WA to reap rewards after Brazil iron deal
Western Australia's economy looks set for further growth, with Brazil, the world

's largest iron ore producer, negotiating a better-than-expected price hike.

The market had tipped a rise in the iron ore price of between 10 and 15 per cent
, instead, it will go up 19 per cent.
The deal between Brazil's CVRD and German steel-maker ThyssenKrupp sets the scen
e for increased iron prices for WA miners.
ANZ Bank commodity analyst Andrew Harrington says it also means more royalties f
or government coffers.
"The higher the price the higher the volume, will inevitably lead to higher tax
revenues for the Government," he said.
"Earlier in the year ABARE was forecasting that iron ore would become the highes
t exporter earner for the country.
Tasmania set for rail upgrade
Toll's successful takeover of transport company Patrick has paved the way for a
multi-million dollar rail upgrade in Tasmania.
Pacific National, which is jointly owned by the two companies, threatened to sto
p carting container freight by rail last year, unless state and federal governme
nts helped to improve infrastructure.
After months of stalled negotiations, Pacific National has now agreed to invest
$38 million in new rolling stock, while the governments will provide $118 millio
n for infrastructure.
Tasmanian Minister for Infrastructure Jim Cox hopes industry will also support a
better rail service.
Draft dairy report recommends support for GM crops
The dairy industry has been embarrassed by the leaking of a draft report that re
commends it join other agricultural industries in supporting genetically modifie
d (GM) crops.
Until now state governments have had the backing of the dairy industry in bannin
g commercial GM crops.
The draft report was commissioned by the Australian Dairy Industry Council (ADIC
) and was not due to be released until much later this year.
Policy director with Australian Dairy Farmers, Robert Poole, says the current po
licy was written seven years ago, and was due for review.
"Had we not had it happen where it's now become public we would have certainly g
one to the point where we would have consulted widely especially with dairy farm
ers and with dairy companies, although they're part of the ADIC process and obvi
ously ultimately governments as well," he said.
Mr Poole says it is a draft report and not industry policy.
Meanwhile a leading plant breeder says the dairy industry would save millions of
dollars, if it embraced GM crops.
Viruses in pastures such as white clover cost the industry $110 million a year,
but a virus-resistant clover could be on-farm by 2009.
Research director Professor German Spangenberg says that is just one reason for
introducing genetically modified technology.
Bush sees no need for US inquiry into AWB
President George W Bush does not appear to think there will be need for a US inq
uiry into AWB, despite pressure from domestic farm groups and some senators.
The President has expressed confident in the Australian Government's ability to
investigate the kickbacks scandal, during a visit to Washington by Prime Ministe
r John Howard.
Mr Bush praised Howard for his free trade efforts, and dodged questions about th
e AWB, saying Australia was conducting its own investigation into the UN oil-for
-food scandal, and Mr Bush looked forward to seeing the results.
At the US Capitol, Mr Howard told Senate leaders he understood the difficulty su
rrounding the Australia-US free trade agreement.
"I know that things of that kind always create some difficult domestic judgments
and considerations ... and, I'm very grateful that it received such strong supp
ort," he said.

Court rules against AWB over 'apology' document

A Federal Court judge has ruled against wheat exporter AWB, in its fight to keep
a so-called apology document confidential.
The document was prepared on the advice of US-based public relations consultant,
and was mistakenly included in evidence AWB tendered to the Cole inquiry.
Justice Neil Young took just 10 minutes to rule, AWB had no claim for legal prof
essional privilege, and rejected the company's efforts to keep the document conf
idential.
Justice Young also found Commissioner Cole had every right to rule on the legal
status of the document, a point disputed by AWB.
Burgess makes case to lead NFF
No surprises and no big policy changes is how prospective National Farmers' Fede
ration (NFF) boss Allan Burgess, says he will lead the organisation if elected p
resident.
Mr Burgess, NFF's trade representative, will contest next month's leadership bal
lot against former Meat and Livestock Australia boss David Crombie.
The Victorian says making sure farmers get a fair price for their produce and ma
intain a good relationship with urban Australia are key issues.
He says bringing Western Australia and South Australia back into the NFF fold is
also high on his list of priorities.
"At the very highest priority for Allan Burgess in any organisation he's ever be
en a part of has been about getting a collective view," he said.
"In my experience farm organisations only work well when you can come to one con
sensus.
Inquiry releases AWB apology
The head of the Oil for Food Inquiry, Commissioner Terence Cole has just release
d the apology document, prepared between AWB, company lawyers and US public rela
tions consultant Dr Peter Sandman.
The document, drafted by former MD Andrew Lindberg, states that AWB accepts in p
aying money for inland transportation and after sales service, it paid money to
the Iraq government in contravention of the UN sanctions.
The document also states that although there were warning signs, AWB did not cha
llenge the payments and for this they are truly sorry, and deeply regrets any da
mage this may have caused to Australia's trading reputation, the Australian Gove
rnment or the United Nations.
The statement admits they failed to consider the implications of UN sanctions, a
nd should have had their own internal systems of checks and balances to stop any
abuse of the oil for food program.
It concludes there is no excuse for what happened, that the company simply shoul
d have done better, and that Mr Lindberg is deeply sorry that it did not.
AWB had decided not to release the document, but it was mistakenly tendered to t
he Cole Inquiry, along with other AWB evidence.
Live trade to Egypt may re-start soon
The Federal Government has confirmed it is working on a plan which could see the
livestock export trade to Egypt reopen in a matter of weeks.
The trade to Egypt was banned in February when the 60 Minutes program aired foot
age showing animals being treated outside industry standards.
Agriculture Minister Peter McGauran says his investigations proved the cattle we
re not Australian, but he shut the trade because the humane handling of Australi
an animals could not be guaranteed.
The Minister now says industry is forming a plan which will animals treated bett
er.
"There may well be some Australian stockmen or vets or locally employed and trus
ted staff," he said.
But RSPCA National President Hugh Wirth says more than increased supervision is
needed.

"You can do all the supervising you like, it's not going to change the fact that
the abattoir workers have a great deal of difficulty dealing with Australian ca
ttle."
Around 12,000 head of cattle were exported to Egypt last year worth around $10 m
illion.
The cattle industry says the findings of a new report add weight to the argument
to resume the live cattle trade with Egypt, with appropriate monitoring.
Cameron Hall from Livecorp says the report has found Australia has the highest a
nimal welfare standards in the world.
"There needs to be appropriate systems and appropriate monitoring to ensure some
of the reasons that the trade was halted and suspended in the first place, cann
ot continue and particularly we can guarantee levels of assurance that the anima
ls that we market into those countries are processed and handled with a level of
care that we would expect," he said.
The report was commissioned by Livecorp and Meat and Livestock Australia.
The first shipment of live cattle out of the far north Queensland city of Townsv
ille in three years is due to leave at the weekend.
Boom time for feedlots
Strong export demand and the ongoing drought have pushed the feedlot sector to r
ecord heights.
Australia now has just under 900,000 head of cattle on feed, with Queensland and
Western Australia recording the biggest jumps.
But Malcolm Foster from the Lotfeeders Association has sounded a note of caution
.
He says the United States could be back supplying beef into Japan and Korea as e
arly as next month, which will provide stiff competition for our grain-fed produ
ct.
"It is very good news, but this situation's been going on now for two years," he
said.
Report recommends GM grass for dairy cows
The South Australian Dairyfarmers Association says it will support the introduct
ion of genetically modified (GM) pasture grasses if consumers accept them.
A leaked draft report for the Australian Dairy Industry Council recommends intro
ducing GM grass for dairy cows, after research pointing to massive productivity
gains from the new technology.
SA association president, David Basham, says the industry needs to do more inves
tigation.
"We need to keep that research going, we need to make sure that if consumers are
ready to move on, we are there ready to adopt," he said.
"If the markets are not willing to accept GM products then we as an industry can
't accept it and that may be the way it goes."
And there are deeply divided views on GM pastures in Victoria.
Concerns over inferior wool in bales
Concerns have been raised about the growing number of wool bales that have infer
ior quality wool deliberately hidden in them.
The Australian Wool Exchange (AWEX) says buyers are losing confidence in the qua
lity of Australian wool because of falsely presented bales and a rise in contami
nated and unprepared fleeces.
AWEX woolclasser registrar Greg Sawyer says the market slump has seen growers tr
ying to cut corners, but it is turning buyers off altogether.
"We know of mills around the world that have notified AWEX of wools that for arg
uments sake may have 10-bale line of fleece wool, eight bales are well prepared
and the last two bales may be topped up with inferior wool which hasn't been," h
e said.
NLIS frustration in Tas
Tasmanian cattle producers are frustrated by the state's roll-out of the Nationa

l Livestock Identification System.

They are still required to use tailtags, as well as the new electronic ear tags,
even though the rest of Australia will be tail-tag free from July 1.
Tasmanian NLIS coordinator John Cameron says they need to be able to guarantee t
race-back to the last property of origin before tail tags can be removed.
"At the moment there are still a lot of cattle with NLIS tags in their ears that
are not registered to the correct property on the database," he said.
"So if they're sent to a saleyard or abattoir the database doesn't have the corr
ect information about where they are.
Govt assesses drought in NSW
The ongoing impact of the drought is being assessed first hand in New South Wale
s by Federal Government assessors.
The National Rural Advisory Council has embarked on an extensive tour of areas c
oming to the end of exceptional circumstances drought relief.
Sheep specialist Doug Alcock has helped the council to understand the severity o
f the drought from Canberra south to the Alpine region.
"Water is the biggest issue in terms of the effort and money that's been put int
o infrastructure in terms of tanks and new bores and reticulation systems," he s
aid.
"People running polypipe anything up to a couple of kilometres just to get water
into paddocks, it's very expensive and heartbreaking in country that nobody has
any living memory of ever going dry some of the springs."
Coastal farmers in the region are also being hit hard by drought.
Sick sheep seek out healthy food: research
Scientists have known for a long time that sheep seek out foods to gather the nu
trients they need, but new research suggests they can choose foods to cure illne
ss.
CSIRO Livestock Industries in Western Australia believe sick sheep will search f
or plants that make them better.
It is conducting a trial in WA's wheatbelt to work out which plants are eaten by
sheep to improve their health and production levels.
Senior research scientist Dr Dean Revell says down the track, farmers might even
be able to incorporate "medicinal paddocks" into their farm management.
"Maybe they have to have a continual exposure to these, so they have to be incor
porated into the grazing base, the feed base," he said.
"The former option is more attractive, where we can set up and manage a separate
paddock and take them there when needed.
WA imposes ban to stop virus
Western Australia has banned any plant material from the east which could host t
he yellow leaf curl virus.
The virus was found in tomato crops near Brisbane and Bundaberg last month.
Fiji looks to dairying
Fiji is hoping for a boom in its dairy industry, as its dominant sugar industry
faces a downturn.
A delegation has been touring dairy farms in Victoria this week to investigate a
lternative ways of farming.
Until recently the European Union has given preferential market treatment to Fij
ian sugar, but with an EU restructure, it is becoming hard for sugar growers to
stay in business.
Economist with the Fijian Ministry of Agriculture Waisiici Gonemaituba thinks fa
vourable rainfall conditions will be an advantage for dairy farmers.
"We get rain nearly every two days which is good for pasture production and the
dairy industry as a whole," he said.
Landcare to honour Farley
The Australian Landcare Council plans to pay tribute to co-founder Rick Farley b

y an annual award in his honour.

A former head of the National Farmers Federation, Mr Farley, as also instrumenta
l in establishing the Landcare movement.
He died on Saturday.
Landcare chairman Bobbie Brazil says the award will honour Mr Farley's work and
vision.
Wimmera farmers say AWB should have released apology letter sooner
Wheat growers say AWB could have taken the heat of the accusations it had paid k
ickbacks to the former Iraqi Government, by publishing a letter of apology befor
e the Oil for Food Inquiry.
The Inquiry yesterday released a document prepared by former AWB managing direct
or Andrew Lindberg in December, which said the company was truly sorry it did no
t challenge the payments, despite warning signs, and it should have done better.
Farmers in Victoria's Wimmera region say by trying to block the letter's release
through the Federal Court, AWB has only raised further questions about what it
was trying to hide.
"I would have believed that if it had have been presenter prior to the Cole Inqu
iry it may have defused quite a lot of the heat and argument within the Cole Inq
uiry itself," one farmer said.
"In hindsight AWB should have published a very similar letter, if not the same l
etter early on in the piece and the witch-hunt might not have gone on to the ext
ent that it has," another farmer said.
A rural public relations consultant agrees that the apology document should have
been released earlier.
Mark Paterson from Currie Communications says it would have made a big differenc
e to AWB's reputation.
"Looking at the draft statement of contrition, it's an excellent letter of apolo
gy," he said.
"Yes it admits guilt, but what it shows is that AWB is human, and at no point at
any time during this whole process have they demonstrated any humility at all."
Meanwhile, eight wheat exporters, including Cargill, Glencorp and AWB have bid f
or the latest tender to supply 3 million tonnes of wheat to India.
AWB has confirmed it will make an offer to supply 1.2 million tonnes of the cont
ract, while the other companies are believed to have offered for smaller amounts
.
States debate Murray River funding allocation
There has finally been some progress in efforts to establish a national water tr
ading system.
The eastern states appear to be trying to settle their differences over the futu
re of water at a meeting of the Murray Darling Ministerial Council in Melbourne.
The council is also debating how to carve up an extra $500 million in federal fu
nding to improve the environmental health of the Murray River.
While there is yet to be a national agreement on how water may be bought back by
government into the Murray system, the states are making some progress of their
own.
Victoria and NSW have reached an in-principle deal to trade water which may be u
p and running by the end of the year.
While the details of exit fees and other costs are yet to be worked out, both st
ates have agreed the Australian Competition and Consumer Commission should revie
w any deal to make sure it is fair for all sides.
Victoria and South Australia had already an agreement on water trading prior to
today's meeting.
Doug Miell from the New South Wales Irrigators Council, says the state has manag
ed to convince Victoria and South Australia of the merits of a system of tagged
trading.
"We've got the water that Victoria and South Australia have really got their eye
s on, so it's simply a case of he who has the gold makes the rules," he said.

Irrigator groups oppose Snowy Hydro sale

Key irrigator groups in southern New South Wales have withdrawn their support fo
r the sale of the Snowy Hydro electric scheme.
They are worried about a planned 10 per cent cap on individual shareholdings aft
er the company is sold by the federal, New South Wales and Victorian governments
.
George Warne from Murray Irrigation says the proposed safeguards are not enough
to protect the business from an international takeover.
"I think one of the really big issues is the fact that Australia's largest singl
e stored water resources - the Snowy Hydro scheme and its operation and the timi
ng of releases and the power that is generated from - it is going to leave gover
nment ownership and go into private hands," he said.
"We thought they would dissipate that effect by having a maximum cap of 5 per ce
nt or 10 per cent that any one party could own.
Australia to lead climate change deal negotiations
Australia will lead negotiations on a new international climate change deal to r
eplace the Kyoto protocol which is due to expire in 2012.
The framework, to be co-developed with Germany and South Africa, will apply to a
lmost 200 countries.
Mick Keogh from the Australian Farm Institute says farmers have led the way in r
educing greenhouse emissions and should not be further penalised.
He says federal and state governments cannot take credit for work largely undert
aken by farmers.
"There is only one sector of the Australian economy that's made a very significa
nt contribution to the reduction in the growth of Australia's greenhouse emissio
ns and that is the farm sector," he said.
Seven-day forecasts now available to regional areas
Farmers across Australia can now access seven-day forecasts from the weather bur
eau, as well as the traditional four-day advice.
Week-long forecasts have been available to city dwellers for some time, but they
have now been rolled out on a trial basis at 600 weather sites around Australia
, including regional areas.
Anne Farrell from the Bureau of Meteorology in Brisbane says the forecasts have
some shortcomings, but will be accurate for a range of factors.
"Temperature-wise I think the performance is generally pretty good," she said.
"Rainfall-wise there's still a lot of work to be done to try and get higher reli
ability in that as we go further ahead in that seven-day outlook.
"But it's at the point that we think that there's sufficient skill in that, that
its worth putting it out there for the public to make use of."
The seven-day forecasts will be available free of charge through a website calle
d Australian
Rio Tinto sets new iron ore price benchmark
Mining giant Rio Tinto has confirmed it will receive 19 per cent more this year
for iron ore shipped from WA, making it the benchmark price for other deals.
The deal between Japanese steel mills and Rio Tinto closely follows a similar de
al between Germany and Brazil.
Research centres' economic benefits to be evaluated
Australia's Cooperative Research Centres (CRCs) are under review again.
The CRCs are partnerships between government, industry and scientific institutes
, undertaking research and development.
To ensure future funding, the economic benefits of individual programs and centr
es will now be evaluated but Tony Staley from the CRC Association says it is har
d to estimate the value of agricultural research.
"And happily the governments are prepared to fund the next part of this work to
endeavour to get a real handle, as much as you can, on those cases where you've
got thousands of farmers, thousands of small businesses implementing practices,

that have been ... recommended and adopted by many many thousands of people and
it's very very hard to measure," he said.
Meanwhile there are calls to establish a co-operative research centre for small
farms.
North west Victorian horticulturalist Jim Belbin says properties of between 10 a
nd 30 acres are struggling to compete against much larger farms.
He believes an organisation should examine which crops could be sustainably farm
ed on smaller holdings of land.
"I am certain that there are crops that require intensive farming that are suita
ble to small holdings," he said.
Pyrethrum prices cut
Tasmanian crop farmers have been dealt another blow, a cut in pyrethrum prices.
Tasmania is the world's second largest producer of the daisy, which is used to m
ake natural insecticide.
Growers group chairman Scott Langton says the 5 per cent price cut has been attr
ibuted to a world oversupply and is likely to halt further development.
"What we're really after is just a fair and equitable return so that we can stil
l maintain forward advancement in technology so that we're ready to take up new
technology that comes on," he said.
NSW Govt moves to recruit UK nurses
More overseas trained nurses will soon be hitting Australia's shores, this time
from the UK.
The New South Wales Government has adopted a recruitment program similar to one
operating in Queensland.
A team is heading to the UK next week to hire 400 nurses, with another 600 being
sought from Canada and other parts of Europe.
Dr Ross Maxwell from the Rural Doctors Association says it is easier to check th
e qualifications rather than those of health professionals from Africa or India.
However he says this is not discrimination.
"I would hope that's not the case and I believe that there are sound reasons to
target health professionals where you can be confident of their training," he sa
id.
Thousands expected to flock to Fred's Show
The first agricultural show of the year in the Top End is expected to attract 30
,000 people through the gates this weekend.
Equestrian events are already under way south of Darwin at the four-day Fred's P
ass Rural Show.
Last year 29,500 walked through the gates of the showgrounds, which are nestled
amongst five acre rural blocks on Darwin City's southern outskirts.
And this year, a steer auction is being held for the first time and the Territor
y's Cowboys Association is hoping to draw big crowds to the two days of rodeo.
The hay-stacking event is one of the most competitive and the Tasmanian woodchop
pers will showcase their talents for the 18th time.
Buddhist monks connect with Indigenous community
A group of Buddhist monks are finding solace in a far north Western Australian I
ndigenous community famous for its rock art.
An Indian guru and her nine disciples have been meditating on the pristine Mitch
ell Plateau of the north Kimberley.
And Aboriginal youth from the local Candiwall community made such an impression
that they have been invited to India.
Archaeologist Lee Scott Virtue led the group and says the connection with land w
as obvious,
Threatened squirrel gilder found in south-east SA
A mammal, similar to a sugar glider, has been found for the first time in the so
uth-east of South Australia.

The squirrel glider is a threatened species more commonly found in western Victo
rian woodlands and along the eastern seaboard.
SA Department of Environment ecologist Dan Harley says the discovery was made by
a researcher at the Museum of South Australia, who thought she was looking at a
collection of sugar gliders.
"When she got to this handful of specimens from the Bordertown area, she got som
e really weird results and scratched her head and couldn't work out what was goi
ng on," he said.
Fijians set sights on dairy industry
Fiji is hoping for a boom in its dairy industry, as its dominant sugar industry
faces a downturn.
A delegation has been touring dairy farms in Victoria this week to investigate a
lternative ways of farming .
Until recently the European Union has given preferential market treatment to Fij
ian sugar but with an EU restructure, it is becoming hard for sugar growers to s
tay in business.
Economist with the Fijian Ministry of Agriculture Waisiici Gonemaituba thinks fa
vourable rainfall conditions will be an advantage for dairy farmers.
"We get rain nearly every two days which is good for pasture production and the
dairy industry as a whole," he said.
Hay export market strong
Australia's hay exports have reached record levels with stronger demand from Jap
an, Korea and Taiwan.
Murray Smith, from exporting company Balco Australia, says last year exports wer
e valued at more than $200 million.
He says Australia's high quality product is highly sought after and the market i
s as strong as he has ever seen it.
"If we look at our exports to seasonally adjusted year end of November 05, I thi
nk we're up to 685,000 tonnes being exported out of Australia of cereal hay and
straw and that's a record as far as I'm concerned," he said.
Birdsville Track pastoralists face continuing drought
After battling seven years of drought pastoralists on the Birdsville Track in So
uth Australia are reaching breaking point.
Some have not had a decent drop of rain since July last year, forcing them to ei
ther sell or agist most of their cattle interstate.
Shane Oldfield from Clayton Station says this is the worst he has ever seen it:
"We always get drought's in this country you know two, three years, four years i
s a real bad one - this is the daddy of them all," he said.
Iraq wheat deal collapses
A deal to sell 350,000 tonnes of Australian wheat to Iraq is off.
The sale was brokered by the consortium Wheat Australia after Iraq announced it
would no longer do business with AWB.
The consortium involving ABB, Graincorp and CBH is blaming increased demands fro
m the Iraqi Grains Board although it will not specify what they were.
It has rejected suggestions its inexperience in Iraq was a factor or because the
wheat came from AWB's national pool.
Spokesman Rhys Ainsworth says the sale was not in the best interests of wheat gr
owers.
"There were a couple of commercial issues that Wheat Australia, given that Wheat
Australia are negotiating on behalf of Australian wheat growers, weren't able t
o agree to and unfortunately we weren't able to broker a deal over the last eigh
t to 10 weeks despite what have been very positive discussions," he said.
"We're disappointed for Australian wheat growers.
"Wheat Australia came together following the efforts of the Government to secure
this opportunity.
"Certainly several of the areas that we weren't able to reach agreement on weren

't what you'd call common I suppose."

AWB, which has veto rights over export deals, says it will reconsider whether ot
her companies can tackle the Iraq market.
Private member's bill
Meanwhile Liberal MP Wilson Tuckey says he will introduce a private member's bil
l to Parliament to remove AWB's ability to veto other companies from exporting w
heat, if the Government does not.
Mr Tuckey says it was highly predictable a deal would not be reached because the
wheat wasn't sold at 'arms-length' from AWB.
He says he will talk to the Australian Grain Exporters Association today to enco
urage its members to lodge wheat export applications for Iraq.
But he says the Government must also act to reduce AWB's power.
"It's now necessary that the Government in its ambition to ensure that the trade
is maintained to go to Brooks Grain or one of the, as some refer to them, the f
oreign devils, be given every opportunity to see if they can stitch up a deal an
d it should be the Government's, if necessary, urgent legislation to make sure t
hat deliveries can be obtained," he said.
AWB earnings
Despite a rocky few months, AWB is expected to post good half year earnings this
week on the back of a solid wheat harvest.
Analysts say the recent poor share price is due to speculation about the future
of the single desk and not the company's performance.
There are also reports today that a major management shake-up could be announced
, although the company is not commenting.
Commsec analyst Grant Saligari says those rumours have not been put to the marke
t.
"There's been nothing flagged to us by the company at this stage that they will,
but that's a possibility," he said.
"The underlying results should still be reasonably robust. There's likely to be
a number of one-off costs associated with the Cole inquiry, they'll certainly im
pact the result.
"It's likely to be higher than the originally flagged cost, as long as the inqui
ry goes on, I guess they'll continue to have those one-offs."
In another development AWB is gaining a foothold in the dairy sector, announcing
a deal between its Landmark company and New Zealand processor Fonterra.
Plan to deliver rural broadband may be dumped
Telstra has confirmed it is considering dumping a project to connect broadband I
nternet to thousands of country homes.
The plan involves Extel technology, which boosts the power of telephone exchange
s by up to 20 kilometres.
But Telstra is concerned that rival companies will be able to use the technology
.
Spokeswoman Liz Jurman says there are also other problems with the rollout of Ex
tel and the company is now looking at alternative ways of delivering broadband t
o rural and remote areas.
"The extender can't be used on individual customers you need to provide it where
there are clusters of demand, so obviously that depends on customer demand, so
we haven't yet made a final decision on that product," she said.
"And it's important to understand this device is not the be all and end all for
providing ADSL to customers.
US cattlemen losing confidence in Japanese market
The US-based National Cattlemen's Beef Association says it is losing confidence
in the Japanese market with its refusal to set a timetable to reopen the beef tr
ade.
Spokesman Jay Truitt says the US has done all it can to reassure Japan that Amer
ican beef is safe.

But Japanese authorities now want to do their own inspections of US meatworks af

ter a prohibited shipment, including spinal bones, made it to Japan in January.
While he is still hoping for the market to reopen soon, Mr Truitt says Japan is
a less reliable market for US producers.
"Our focus in the future is going to be more towards Korea, existing markets lik
e Mexico and Canada, frankly, which is the fourth largest existing market for th
e United States and other countries around the Pacific rim," he said.
Despite the uncertainty, some reports suggest Japan could resume imports of US b
eef in July.
Following talks last week, Japanese experts have reportedly told US authorities
they are "basically content" with measures to protect shipments from mad cow dis
ease.
Meat and Livestock Australia's regional manager in Tokyo Samantha Jamieson says
the July start date is sooner the expected but should not cause alarm for Austra
lian producers.
Demand for bananas prompts desperate measures
Competition to find enough bananas is heating up in New South Wales as prices co
ntinue to hover well over $100 a carton.
Before cyclone Larry wiped out the north Queensland crop, growers in New South W
ales were receiving under $10 a carton.
Coffs Harbour grower Mick Gentle says growers are receiving constant phone calls
from agents looking for more fruit and one has even bought a local plantation t
o ensure supply.
Chinese currency may push wool higher
The wool market is hoping for further gains this week, boosted by a re-evaluatio
n of the Chinese currency.
The value of the yuan has been strengthened against the US dollar and wool marke
t analysts say it is already being felt in Australia.
The eastern market indicator rose 16 cents last week to close at 729 cents a kil
ogram clean.
Landmark's Phil Speers says with the Chinese buying around 60 per cent of Austra
lia's total clip, there could be further price rises.
"This obviously makes their currency more competitive against the Australian cur
rency which is going to make it easier for them to come in and buy our wools," h
e said.
Water deal will bring benefits, says commission chief
The head of the Murray Darling Basin Commission is defending the impact of the n
ew interstate water trading agreement.
Victoria, New South Wales and South Australia have signed a deal to trade water
across state borders, while the Federal Government has signalled its interest in
buying water for the environment.
Chief executive Wendy Craik says while there are concerns about the social impac
t of water being sold out of communities, there are other benefits as well.
"Yes, when water leaves an area often you know there may be an immediate impact
and quite often yes they're not positive but often new enterprises arise up in t
hose areas from where the water's gone because people have money that they didn'
t otherwise have from selling their water entitlement," she said.
WA farmers anxious for rain
Graingrowers in Western Australia are anxiously waiting for some substantial rai
nfall to come out of a cold front expected to pass through in the next two days.
Along with many farmers in the east, growing in the northern agricultural region
s have been dry sowing since March and are now starting to worry about the impac
t of the ongoing dry.
CSIRO plant scientist John Passioura says farmers underestimate how strong seeds
really are.
"If you have a false start and you get a bit of rain and the seed starts to swel

l up and so and it's done all of the getting the machinery ready to go, the bioc
hemical machinery, then, it will skip that phase when you get the next good rain
," he said.
Demand for alpaca wool increasing
If you have got an alpaca or two running around the backyard, you are being urge
d to shear it and sell the fleece.
The industry's marketing body says there has been a big jump in demand for alpac
a fibre which cannot be met.
John Bentley, from the Australian Alpaca Association, says because the animals a
re valued as pets, or guard animals, there is less focus on their fleece.
"The value is still highly in the animal, which tends to make the fleece at this
point in time, more a by-product, but we do have to get the product out there t
o the public, get them familiar with alpaca," he said.
Sexy smells may help trap toads
Bottling up cane toads' sexual odours is the latest left-field idea to trap the
noxious pest.
The new research builds on a discovery that the pheromones excreted by a native
male frog attracts female frogs at large.
Dr Mike Tyler from the University of Adelaide says they are hoping cane toad sme
lls will have a similar pulling power.
"If it's an attractant we would be able to attract perhaps females in such numbe
rs that instead of having to go around and pick up one here and one there, we mi
ght be able to attract them together," he said.
Govt optimistic contract changes could save wheat deal
The Federal Government says a 350,000 tonne wheat deal between Australia and Ira
q could be salvaged.
Yesterday, the Wheat Australia consortium said it had failed to come to terms wi
th Iraq and negotiations for the $90 million deal were over.
But Agriculture Minister Peter McGauran believes Iraq is considering removing a
clause in the contract which Wheat Australia had found unacceptable.
"Negotiations are not necessarily over," he said. "Wheat Australia is working ve
ry hard in the interests of growers to complete the sale."
"They've taken a strong line in regard to one particular clause, which they beli
eve would disadvantage commercially Australian growers and that's entirely prope
r and the right thing for them to do, and it may well be that the Iraqi side is
now reconsidering they're insistence in the insertion of that particular clause.
"
But wheat growers in Victoria say they are not surprised the deal has stalled.
While some say the contract tender should be opened to other companies, others b
elieve it shows the single desk is the only successful system.
"The world wheat market is the highest it has been for five years. We've got peo
ple out there wanting to pay a good price for our wheat yet we are not able to f
ix these deals," one wheat grower said.
Wheat futures near all-time highs
A global share market fall in mineral and energy stocks is having unexpected ben
efits for wheat prices, with futures markets at or near all-time highs.
Analysts say speculative funds appear to be pouring money into wheat, as they tu
rn away from oil, gold and copper.
Wheat prices on the Chicago Futures Exchange rose again overnight, to around $AU
D220 per tonne.
Brett Stevenson, from Market Check, says even better prices are being offered fo
r wheat for March 2008 and 2009, and at around $250 a tonne, they are just below
the 1995 record.
"We are faced for the first time a situation where the forward prices three year
s in the future are at extraordinarily high levels, nearly records," Mr Brett St
evenson said.

"We have got massive amounts of money invested into the metals. We think some of
that money maybe coming in to the soft commodity funds in other words, wheat, y
ou know, grains, that sort of thing.
Weaker price for Indian wheat deal
Despite a boom in wheat futures and the lowest global wheat stocks in 25 years,
Australian farmers are not getting top grain prices this season.
In the latest deal, Australia is believed to have offered to sell wheat to India
at a much lower price than its major competitors.
Grains analyst Malcolm Bartholomaeus says that is largely due to the practise of
selling each year's stocks, before the next season's harvest.
"While it may be tempting to hold wheat back against this rising market and achi
eve higher prices later in the year, the practise in Australia has really been t
o clear each crop before the next one comes in basically at whatever price," he
said.
"The storage and handling companies and growers get pretty cranky if we go into
the next harvest with stocks still being held in the system and I guess if AWB t
hink that to get rid of the wheat they need to push it out at lower prices, then
that's what they're doing."
Continuing bear market may lead to nervous investors
The Australian Stock Exchange has begun trading marginally weaker, despite stron
ger commodity prices on the London Metal Exchange overnight.
In 10 days the local market has dropped $80 billion, reacting to weakening metal
prices.
Although many analysts say the market needed a correction, Hartleys resource exp
ert Rob Brierley says investors will start to get nervous if this bear market co
ntinues.
"Probably another week of this and people would be extremely worried," he said.
Govt, Telstra assurances sought for 3G rollout
The Federal Government is under pressure to regulate the rollout of Telstra's ne
w 3G mobile phone network, to make sure rural Australia is not disadvantaged whe
n the current CDMA service is shutdown.
Telstra has promised it will not turn-off CDMA before January 2008, even if the
3G network has reached equivalent coverage before then.
But in Senate Estimates hearings yesterday National Party Senator Fiona Nash tol
d Telstra representatives, regional areas deserve more than just assurances from
the phone company.
"But what if I just take you back to the Extel example and early on in the desk
top study and the work that had been done in terms on what could be rolled out t
echnologically, and now it seems that, 'oops that wasn't quite right'? What I'm
trying to make sure for those people that live out in regional Australia that we
don't get to the end of the rollout and hear from Telstra again, 'oops we didn'
t get that quite right'."
Road cuts 'add to Wadeye violence'
Poor road infrastructure is said to have contributed to ongoing violence within
the Northern Territory's largest Indigenous community.
Flooding cuts off the community of Wadeye for six months of every year and with
only sea or air access it is hard for police to reach.
At least four homes have been destroyed during violence in recent days.
About 100 residents have fled and are camping in tents beside the Port Keats Roa
d in the lower Daly region.
Fifty people are stranded at the Daly River Crossing.
Mango farmer Gary Higgins says they are being forced to camp at his front gate.
"Yesterday when we came in there was about 30 or 40 people all at our front gate
," he said.
"There is a big rock bar there and they actually use that from there to get acro
ss into the community opposite.

"They can only get their vehicles to our front gate.

FMG considers rail access appeal
A bid by the Fortescue Metals Group (FMG) to use a BHP Billiton railway in Weste
rn Australia's Pilbara has failed.
While the line is owned by the mining giant, FMG has argued it should be allowed
access to take advantage of the resources boom, instead of having to build anot
her railway.
After years of debate, Treasurer Peter Costello was expected to make an announce
ment on the proposal yesterday but the deadline passed without comment.
FMG's Julian Tapp says the company is looking at how it might appeal the decisio
n, which is a blow for all small iron ore companies in the region.
"We've been doing this not just for ourselves, but for general public interest,"
he said.
Drought-hit farmers hope for transport subsidies
The grip of the drought is tightening in New South Wales.
The latest figures show nearly two-thirds of the state is drought declared, and
much of the rest is marginal.
Only 10 per cent of the state is considered satisfactory.
State Primary Industries Minister Ian Macdonald has spent the morning discussing
the deteriorating conditions with his colleagues in Cabinet.
Roma saleyard replaces stock ID equipment
Australia's biggest saleyard is changing its national livestock identification e
quipment but management denies that is because it is not efficient.
Run-through scanners were introduced at Roma in southern Queensland in July last
year, to comply with the new animal traceback laws.
Since there there have been complaints of time delays and ongoing debate over wh
ether the equipment or the agents are to blame.
Rob Loughnan, from the saleyard's board, says delays are an issue.
But he says the main reason for the change is because the system cannot easily s
eparate an individual beat from a herd.
"The market research is telling us that very soon the buyers will be wanting to
know if there is an animal in a particular pen that is not lifetime traceable an
d that's not going to suit their requirements and that's going to have to be hig
hlighted," he said.
Study to consider wine industry's future
Increased domestic and international competition has prompted a new study into t
he future direction of the wine industry.
The Australian Wine and Brandy Corporation and the Winemakers Federation of Aust
ralia are conducting the state of the industry study, which is to be released ne
xt year.
But the report will not offer short-term solutions for growers unable to sell th
eir grapes.
The federation's Dominic Nolan says it is to protect the long-term future of the
wine industry, and is not a knee-jerk reaction to the grape glut.
"The decisions that we make about planting today really has an impact in five ye
ars' time or beyond," he said.
"What we're looking at is very much a strategic document, we're talking what's g
oing to happen in the next 10 to 20 years.
Vet's braham fertility research honoured
The highest accolade in veterinary science has been awarded to a man partly resp
onsible for the success of brahman cattle in northern Australia.
Dr Keith Entwistle has been awarded the Gilruth Prize at the Australian Veterina
ry Association's annual conference in Hobart this week.
He says years of research with his colleagues helped to solve problems with cow
and bull fertility, when the brahman breed was first introduced.

"A lot of the research that we did over the last 30 years has certainly contribu
ted to the wider use of the brahman," he said.
AWB profit rises despite scandal
Despite the oil-for-food inquiry and a sliding share price, wheat handler AWB ha
s delivered a strong half-year result.
AWB admits it is in a difficult operating environment but its profit is up 5 per
cent to $86 million before tax.
Profits have been boosted by a strong performance from the national pool, as wel
l as business outside the wheat trade.
The Cole inquiry has cost almost $10 million so far.
The final bill is expected to total $18 million, as long as there are no extensi
ons.
While happy with the returns, chairman Brendan Stewart says the company is deter
mined to restore its reputation.
"I think what this demonstrates is that while we're in challenging times, that A
WB is a very resilient business and we've got a good foundation for the future,"
Mr Stewart said.
Mr Stewart has reaffirmed the company's plans to separate AWB Limited from its i
nternational export arm.
"This is a clear direction from the board that we are prepared to make changes t
hat deliver security and certainty to the single desk," he said.
AWB's results also divulge a payout worth more than $1 million to former managin
g director Andrew Lindberg.
Mr Stewart has refused to confirm any planned changes to management until after
the Cole inquiry hands down its findings.
New documents
The Cole inquiry will be able to scrutinise new documents from AWB, including th
e wheat exporter's own internal investigation into Iraqi kickback allegations.
The Federal Government has agreed to change the Royal Commissions Act after a re
quest from Commissioner Terence Cole.
The changes will come into effect from June 13 and hearing are expected to be re
sumed the following week.
Independent probe
Meanwhile, a key US Senator on farm issues is asking for an independent investig
ation of AWB's kickbacks and the failure of US authorities in that country to do
anything about it.
US Senator Tom Harkin is asking the independent inspector-generals of the US Agr
iculture and State Departments to investigate the AWB and why the Bush Administr
ation has brushed aside similar requests.
Senator Harkin's spokesman Dave Townsend says what happened to the $200 million
in alleged AWB kickbacks is a key issue.
"Prior to the fall, those kickbacks were going to Saddam Hussein," he said.
"While Hussein is no longer in power, Senator Harkin would like to know where th
at money was going ... and why, at the time, ... we weren't about to figure out
that those contracts still contained kickbacks."
Mr Townsend says Senator Harkin wants the $220 million recovered and returned to
the Iraqi people.
Wheat sales
The scandal is continuing to affect Australia's wheat trade with Iraq.
Despite Federal Government speculation that a $90 million deal could be salvaged
, a member of the consortium negotiating the deal says it has definitely failed.
Graincorp, ABB Grain and Western Australia-based CBH have been attempting to del
iver $350,000 tonnes of wheat but contractual problems have stalled the deal.
WA lifts wheat import ban
Wheat varieties from the eastern states will be allowed back into Western Austra

lia, with the lifting of a ban on imports.

The restriction has been in place since December to try to prevent the introduct
ion of wheat streak mosaic virus.
Storm season prediction lifts oil price
The price of a barrel of crude oil has gone up again overnight, after the United
States' weather forecaster predicted an above-average storm season in the Gulf
of Mexico.
Twenty per cent of the gulf's oil facilities are still off-line from last season
.
ANZ Bank commodity analyst Andrew Harrington says it is the 11th above-average c
yclone season in a row, and is raising questions about the effects of climate ch
ange.
"Another above-average season doesn't say much when the average is creeping upwa
rds," he said.
"I guess it's kind of ironic when fossil fuel is driving the climate change and
then you have climate change hammering fossil fuel supplies."
Vets push for foreign abattoir audits
The Australian Veterinary Association wants a grading system for overseas abatto
irs, to better manage the welfare of exported livestock.
National president Dr Matt Makin says the treatment of Australian animals once t
hey are unloaded in overseas ports is becoming an increasingly contentious part
of the trade.
Cattle exports to Egypt were suspended earlier this year, after mistreatment con
cerns were raised.
Dr Makin says the Australian industry needs to take a greater role in managing a
nimal welfare, not just in the lead up to and during export.
"We've been in heavy discussions with industry and with the Government to push t
he concept of facility audits overseas," he said.
Australians to train Malaysian abattoir staff
There is expected to be improved animal welfare standards at new cattle abattoir
and training centre being built in Australia's second largest live export marke
t, Sabah in Malaysia.
The facility is expected to process up to 10,000 cattle from the Northern Territ
ory.
Robert McFarlane, from the Department of Primary Industries, says it will be bui
lt to Australian standards.
"They will hopefully be able to processing, 70 or 80 or anything up to 100 a day
if they want to, in due time," he said.
"The object is to train people and then we step back and allow them to carry on
training they're own people.
Abetz urges cooperation in illegal fishing fight
Australia is calling for a stronger global effort to combat illegal fishing.
Signatories to a United Nations agreement on fishing are meeting in New York to
debate how to tackle the problem.
The UN says the world fishing fleet is two-and-a-half times above sustainable le
vels, and super vessels from countries like China and Indonesia are operating ou
tside international law.
Australia's Fisheries Minister, Senator Eric Abetz, says more cooperation is nee
ded to stop rampant illegal, unreported and unregulated fishing, which is decima
ting stocks.
"We see the agreement as very important but we now are getting to ensuring that
it is properly implemented," he said.
Farmers welcome new transport subsidies
Farmers across New South Wales have welcomed the reintroduction of transport sub
sidies under a new drought package announced by the State Government.

An extra $5 million will be spent on the movement of stock, fodder and water, an
d fund drought support workers until the end of the year.
Ninety per cent of the state is now in drought or considered marginal.
New South Wales farmer Jock Laurie says the package goes a long way towards help
ing producers to get through the current crisis.
"Certainly it is a lot better than it was this time yesterday morning," he said.
"We have got to acknowledge the fact that the Government has moved reasonably qu
ickly on this.
"One thing we want more than anything else is a big shower of rain.
Remote education changes 'exciting'
Major changes have been announced in the Northern Territory to improve the educa
tion of students in remote areas.
Existing schools will be merged into a new distance learning service, with new t
eaching positions and improved technology.
And under a two year trial, the Katherine School of the Air will also offer clas
ses to up to year nine.
Deidre White of Narwietooma Station, north west of Alice Springs, is hoping the
trial will be rolled out across the Territory.
"Parents were really worried about losing our year sevens because our schools go
from preschool to year sevens, because it's really to send the kids away to boa
rding school in year six, or at the end of year six, is really they are just lit
tle kids basically (aged 11 or 12 years)," she said.
New gold mine set for official opening
Australia's newest gold mine on the edge of the remote Tanami Desert in Western
Australia is being opened today by Governor-General Major General Michael Jeffer
y.
The Coyote gold mine has taken more than a decade to become operational, at a ti
me when gold prices are enjoying record highs.
The gold mine is situated in the remote desert country between Halls Creek and A
lice Springs.
Owned by junior resources company, Tanami Gold, the Coyote mine has taken 12 yea
rs from the discovery of its first gold deposits to actual mining.
The project was put on hold last year when management decided the price hike in
steel and labour would make it unfeasible, though some number crunching and a re
vised mine plan turned it into a workable option given the record high gold pric
es.
The company signed an agreement with traditional owners last year, guaranteeing
jobs and business opportunities for the Tjurabalan people.
Qld rainforest fruits producer takes out national award
A Queensland producer who grows native rainforest fruits for gourmet foods has b
een named Australia's first Rural Woman of the Year.
It is the first time the seven state and territory winners have been in line for
a national award and Martha Shepherd, from Eumundi on the Sunshine Coast hinter
land, says she couldn't have received a higher accolade.
"It's a tremendous honour to be representing rural women, they're such an amazin
g group to begin with," she said.
"But also to have the opportunity to represent the award nationally and show how
significant it is for the careers and the future of the many rural women.
WEA's days may be numbered, boss says
The head of Australia's wheat export watchdog has conceded his agency could be a
bolished after the oil-for-food Inquiry.
Wheat Export Authority (WEA) chairman Tim Besley told a marathon senate estimate
s hearing nothing would be the same after the Cole inquiry and pleaded for the r
ole of any future body to be made clearer.
"My plea to anyone who's changing the act is for goodness sake make it clear jus
t precisely what the role of the Wheat Export Authority or its successor body ma

y have," he said.
Senators at the hearing also attacked WEA chief executive Glen Taylor over his p
ay package, age and qualifications.
Liberal Jeannie Ferris wanted to know why wheat growers paid Mr Taylor $350,000
last year.
"Mr Taylor earns more than the Prime Minister which is quite a remarkable feat I
would have thought," he said.
MacNeil resigns over wheat fight
A public fight over a grower levy for the Wheat Export Authority between the Gra
ins Council and the federal Agriculture Minister has claimed a victim.
New South Wales board member Angus MacNeil has resigned from the council, after
it attacked Peter McGauran for backflipping on a decision to reduce the levy.
"All the grains industry needs to be pushing in the same direction," he said.
"Unfortunately the grains council is alienating some of the key stakeholders and
having difficulty working with them and I just don't think that's my style and
I don't think it is going to give us the best outcome.
"I mean there was a fairly public tiff that the Grains Council had with minister
McGauran last week on the ABC.
"That is the style of thing that has happened and it is the sort of style I don'
t appreciate and I don't think is going to achieve us very much."
Bird flu simulation finds response times wanting
While Australia is well equipped to deal with a bird flu outbreak, response time
s by government agencies need to be improved.
That is the finding of Exercise Eleusis, a three-day simulation of Australia's r
esponse to a fictional outbreak of the deadly H5N1 strain of bird flu, held last
year.
Deputy chief veterinary officer, Bob Biddle, says the report card also shows mor
e cooperation is needed between animal and human health agencies, and farmers.
"The report shows that the right decisions were made and with the access to the
right sort of information that was available out and about in the exercise scena
rio but that the committees could have perhaps reached those decisions more rapi
dly," he said.
Australia's BSE-free status confirmed
Australia's status as a country free from mad cow disease has officially been co
nfirmed by the world's leading animal health agency.
Kraft cream cheese factory moves from Vic to SA
Locals in the northern Victorian town of Strathmerton say they are shocked at a
decision by Kraft Foods to move cream cheese production out of the state.
A total of 150 employees will be affected by the restructure over the next two y
ears, with the production being moved to Suttontown, near Mount Gambier, in sout
h-east South Australia.
Former Strathmerton resident and the head of Moira Shire, Gavin Cator, says the
news is devastating.
"The impact on the town, it's going to obviously have a huge impact in confidenc
e," he said.
"We believe the dairy industry very has a good future, we have strong dairy indu
stry in the Goulburn Murray valley, and it's disappointing that manufacturing co
mponents of it and the value adding we seek locally can't be provided."
Compost access hits mushroom growers
Half of Queensland's mushroom growers say they are facing closure because they c
an not access locally-produced compost.
The state's largest supplier, Darling Downs Mushrooms, will shut its plant near
Toowoomba next month.
It is owned by multinational company Chiquita, and provides more than 20 of Quee
nsland's growers with compost, a vital ingredient for mushroom production.

Withcott producer Bruce White is accusing Chiquita of trying to squeeze small gr

owers out of the market.
Govts told to prepare for loss of industry
Local councils and state governments are being told they should be planning for
a potential loss of industry decades before it might occur, if they are to give
rural towns a future.
Demographer and social researcher Bernard Salt believes communities need to plan
for the worst, and guarantee themselves a range of employment and investment.
He says they should be looking 20 years down the track.
Govt urged to improve appeal of mining towns
With the booming resources sector, WA's Chamber of Minerals and Energy says the
State Government needs to do more to make mining towns more attractive places to
live.
The chamber says one in five Western Australians are contributing to the $40 mil
lion resources sector.
Spokesman Tim Shanahan says mining companies are paying record levels of royalti
es and it is up to the State Government to ensure workers are benefiting from th
e boom.
"The State Government is the responsible authority for making making those inves
tments in regional towns," he said.
"We do think there's more to be done in investing in regional communities throug
hout Western Australia.
Vic Govt considers renewable energy scheme
The Victorian Government is considering a mandatory renewable energy target to e
ncourage wind farm expansion.
The Government says there is no other incentive to grow the renewable energy ind
ustry, because the Federal Government will not increase its targets.
Energy Minister Theo Theophanous says power companies will only buy more green e
nergy if they have targets to meet.
"We are still not quite at 10 per cent renewable for the whole country and that'
s why we are currently looking at the question of whether Victoria should just d
evelop its own renewable energy type scheme, similar to the national MRETS schem
e," he said.
Industry welcomes crackdown on illegal fishing
The fishing industry has welcomed new Federal Government legislation cracking do
wn on illegal fishing.
Fisheries Minister Eric Abetz is planning to introduce legislation today that co
ntains a maximum penalty of three years in jail and an $825,000 fine.
Tuna hatchery to be built on Eyre Peninsula
Contruction of the world's first bluefin tuna hatchery has begun on South Austra
lia's Eyre Peninsula.
The new onshore facility at Arno Bay has been developed by the Clean Seas compan
y to breed tuna in captivity.
Kingfish and mulloway are already being bred at the site.
Shake-up for wool industry
The wool industry is set for a major shakeup, with the Australian Wool Exchange
(AWEX) to abandon its auction rooms in Sydney and Melbourne and slash the size o
f its board.
AWEX will end its auction room leases at Yennora in Sydney and Brooklyn in Melbo
urne by the end of the year, handing the ball to wool brokers, who already run s
ales rooms in Newcastle and Fremantle.
A review of company services has found the wool industry holds market reporting
and wool classer services above the provision of selling centres, although growe
r bodies and exporters have been surprised by the decision.

Chris Kelly from exporter Itochu says rival auctions by Australian Wool Handlers
has put AWEX under pressure.
"Look I'm quite sure that if AWH didn't do what they did, I think this decision
wouldn't have been made," he said.
"I think the exporters now would quite rightly question the benefit of AWEX in r
egard to saleroom issues."
Grim winter rain outlook for eastern Australia
Despite previous forecasts, eastern Australia now looks set to receive below ave
rage rainfall this winter.
The latest outlook from the National Climate Centre says most of Victoria, Tasma
nia, New South Wales and Queensland can expect a drier than average year, while
Western Australia, South Australia and the Northern Territory can expect close t
o average rains.
Climatologist Blair Trewin says regions still struggling with drought are the le
ast likely to see big winter rains.
"The outlook for northern New South Wales and southern Queensland is a rather dr
y one," he said.
"In most of that region we are saying the chances of above average rainfall are
only 35 to 40 per cent so about a 60 to 65 per cent chance of coming in below no
rmal.
AWB to boost payments to growers
In some good news for the wheat industry, AWB Limited has increased the amount o
f money it will pay growers next year to reflect a big jump in world grain price
s.
The National Pool Price is up $15 a tonne, at $220 for the benchmark Australian
premium white wheat.
That is $32 higher than the current harvest price.
AWB's National Pools manager David Johnson says the move has been fuelled by a p
oorer crop outlook in the US, and higher investment in the futures market by hed
ge fund speculators.
"While futures have been rallying the cash market for wheat has not been reflect
ing that full rally in prices and this is one of the major reasons why we have a
number of people saying the pools aren't going up as much as they could have an
d that is because the cash wheat market internationally has not gone up as much
as the futures markets are reflecting," he said.
"Stocks continue to tighten, that certainly augurs well for prices as we move fo
rward."
Cole inquiry
In related news, the head of the Australian Federal Police will meet with Oil fo
r Food Commissioner Terence Cole next week, as he weighs up whether to investiga
te evidence from the inquiry.
AFP commissioner Mick Keelty has told a Senate estimates hearing there has been
no decision on whether to press charges against AWB employees.
Under questioning he told the hearing evidence from the Cole inquiry is yet to b
e referred to the federal police.
"Not as yet Senator, I have a meeting with the royal commissioner on the first o
f June," he said.
"I don't suppose he's indicated what meeting's about?" asked the senator.
"Well I don't think that's an appropriate question to ask the commissioner in an
y event, even if he knew," Mr Keelty said.
Meanwhile the Federal Opposition has stepped up attacks on AWB for claiming a ta
x deduction on its $300 million kickback payments to Iraq.
Labor says AWB has legal advice claiming it will not suffer a tax penalty on the
deduction, and has called on the Government to step-in.
But Assistant Treasurer Peter Dutton says the matter is in the hands of the Aust
ralian Tax Office, and it will decide if AWB should be penalised.

PM defends vote on Snowy Hydro sale

Prime Minister John Howard has rejected legal opinion that a vote on the sale of
the Commonwealth's share in Snowy Hydro is unconstitutional.
He says the Government will press on with the sale, despite admitting most Austr
alians are against it.
Opposition to the sale has built considerably since the Government and Labor agr
eed on a motion seven weeks ago, which cleared the way for the sell-off.
The Greens and some government members say they have legal advice the Parliament
should have voted on legislation, and not just passed a parliamentary motion.
"The process of getting parliamentary approval for the sale of commonwealth Snow
y Hydro shares is illegal," said Greens leader Bob Brown.
Mr Howard expects to hear more opposition from within his own party to the sale
next week, but says his own legal advice is clear.
GG foreshadows future outback tours
After a fortnight sleeping in his swag, the Governor-General has called for all
future governors-general to take annual tours of the outback.
Over the past two weeks, Major General Michael Jeffrey has covered thousands of
kilometres from the Birdsville track to Western Australia's Tanami Desert, tryin
g to bridge the divide between city and country.
Major General Jeffrey hopes an annual event could showcase the positives of rura
l life.
"And I'd hope to persuade my successors to do the same things, so it becomes par
t and parcel of the Governor-General's role to be out there in the bush, be seen
to be in the bush and to be seen to be saying well done folks," he said.
Beef giant pays $97m for Top End stations
Australia's biggest beef producer will pay $97 million for two Northern Territor
y cattle stations.
The Australian Agricultural Company has entered into a heads of agreement sale w
ith Heytesbury to buy "Anothony Lagoon" and "Eva Downs".
Vets call for regulation of animal welfare debate
The Australian Veterinary Association says governments must regulate how the ani
mal welfare debate is presented to children.
It is critical of a campaign being run by animal rights group Voiceless, which e
ncourages school children to speak out against issues like live exports and fact
ory farming, saying its biased and threatens farming livelihoods.
President, Dr Matt Makin says children should be exposed to the debate, but is q
uestioning what he says are extremist views from both sides.
"You know this is also a responsibility for governments who are in charge of sch
ool curriculums," he said.
"They need to, you know, be ensuring that children are exposed to all the facts
on both sides of the debate so that the younger generation can form their own op
inion.
"And presenting them with one side of the debate, I think, if this Government do
esn't do anything about that I think it's quite irresponsible."
DNA used to identify stolen sheep
Police have used DNA testing to identify sheep at the centre of stock theft inve
stigations in Victoria.
The Mildura Magistrates Court has found a farmer from Murrayville, in the state'
s north-west, guilty of theft, after DNA testing proved the genetic line of 40 c
ross-bred lambs.
Senior constable Andrew Harris says while the value of the sheep was at the lowe
r end of the scale, the case demonstrates the value of the technology in investi
gations.
Riverland grape growers seek compo
The Riverland Wine Grape Growers Association wants a partial compensation packag

e from the Federal Government.

It says the assistance drop uncontracted grapes on the ground, avoiding the need
for them to sell fruit to wineries at low prices and contribute to the national
oversupply.
Executive officer Chris Byrne says the money could come from the Wine Equalisati
on Tax.
"That would go a long way towards compensating growers not to sell their fruit a
t 100 or 200 dollars a tonne," he said.
Violence disrupts aid to E Timorese farmers
Australian aid efforts to help farmers in East Timor are being disrupted by viol
ence which has erupted in the capital, Dili.
The Seeds of Life project introduces and tests new varieties of major food crops
for subsistence farmers.
Team leader Rob Williams says roadblocks around Dili are making it hard to get o
ut to surrounding districts.
"The work in the district continues on, we need to build planting material up, r
eady for next wet season," he said.
"Cassava, sweet potato, corn-seed and those plants are still growing on.
"We have staff in the districts who are continuing on with the work. The civil d
isturbance hasn't affected them, anywhere near as much as it has in Dili. There'
s drivers delivering sweet potato cuttings, we have staff irrigating maize crops
, so that we have enough seed and planting material for next year.
Green award for horticulture industry
Efforts by the horticulture industry to stop using one of the worst chemicals to
affect the ozone layer have been internationally recognised.
The tomato and strawberry industries have phased out the use of methyl bromide.
Australia agriculture has just been given an ozone protection award from the Env
ironment Protection Authority in the US, which Jeff Mcspedden from Ausveg says r
ecognises our clean and green industry.
"There's been some research done on alternatives and that was to use softer chem
icals and the other one was to use steam generators to steam the soil, or to use
solarisation where they plough it in the hotter climates and let the sun get ri
d of nematodes and problems in the soil," he said.
Merger could have dire consequences for Nationals: analyst
An expert on rural politics says the in-principle merger agreement between the Q
ueensland Liberal and National parties is a disaster for the federal Nationals.
The agreement stems from months of talks between the Queensland conservatives pa
rties on how best to beat Labor Premier Peter Beattie.
But political analyst Professor Brian Costar from Swinburne University says a me
rger even at a state level would have dire consequences for the Nationals in Que
ensland and federally.
He says a merger could cut the Nationals representation in the federal ministry
and reduce the vote of both parities, leading to the rebirth of a 'One Nation st
yle' party.
"Some of the issues that gave rise to One Nation, and particularly in Queensland
where it was strongest, are still bubbling along below the surface," he said.
Federal party leader Mark Vaile has distanced the Nationals from a federal merge
r saying there has never been a better time for regional areas to have a specifi
c rural conservative party.
In Queensland, the merger proposal has received a mixed response.
Just 18 months ago it was rejected out of hand, but today it is seen as the only
way to ultimately topple Labor.
Lecturer in politics at Brisbane's Griffith University Paul Williams says farmer
s could be the ultimate losers.
"I think that they potentially have a lot to lose," he said.
"One can suspect that over time that the Nationals' voice will be drowned out.

Farmers' confidence at low levels

Nearly one third of farmers are expecting conditions to worsen in the coming yea
r.
With a third successive survey in which confidence has declined, Rabobank head o
f rural banking, Neil Dobbin, says it is almost at the lowest level since survey
s began.
Many farmers in New South Wales and Queensland are anxiously waiting for rain in
order to start their winter cropping and livestock producers are also affected
by the lack of feed and on-farm water supplies.
Mr Dobbin says the drought is causing great stress.
"We are really concerned for our clients and for the rural industry as a whole,
there is nothing worse than being in this period of time when you are sitting on
the fence if you like, waiting for rain," he said.
"We are in no man's land and we just pray that we really get some good rains and
we need substantial rains.
"We just need that break, get the crops in, there is a lot of hand feeding going
on at the moment.
More extreme weather predicted for Victoria
Victoria's Department of Primary Industries is predicting the state will experie
nce more extreme weather, with increasing temperatures and less rainfall.
It is carrying out a research project called the Climate Change Challenge to try
to help farmers adapt.
Project leader David Halliwell says most farmers in drier areas like the Wimmera
and Mallee are used to a variable climate, but they might not be ready to cope
with what climate models are predicting.
"Our frequency of extreme weather events are likely to increase into the future,
" he said.
"It is also saying that on average temperatures will increase but this doesn't j
ust mean the maximum temperatures will increase, but the minimum temperatures wi
ll increase a little bit as well.
AQIS officers on alert in NT
Quarantine authorities in the Northern Territory are on full alert, as evacuees
from East Timor continue to arrive.
More than 700 of the estimated 25,000 people displaced from Dili have flown into
Darwin.
C-130 Hercules cargo planes are carrying up to 180 evacuees at a time from Dili
to Darwin on unscheduled flights.
So far, the Australian Quarantine and Inspection Service has checked over 720 ev
acuees from East Timor and 209 crew from the Defence Force.
Whilst many of the passengers are traumatised and are carrying the bare minimum
in the haste to escape the unrest, all bags are being X-rayed or searched for ex
otic plants like siam and khaki weed, and diseases such as grapevine leaf rust.
The giant African snail is also a major risk, and clothing, and footwear is bein
g searched for its eggs, which can be carried in soil material.
Wine export prices drop
The latest wine industry survey has found wine export prices are down by a third
since 2002 and 40 per cent of Australian wineries are running at a loss.
The Deloitte Wine Industry Benchmarking Survey indicates many wineries are strug
gling to survive, particularly in export markets.
Deliotte partner Stephen Harvey says the big supermarket chains in Europe have t
aken advantage of the Australian wine glut and are forcing prices down, and the
whole industry is feeling the pain.
"We are seeing a lot of it go over for buyers' own brands in the big supermarket
chains, your Sainburys, Tescos, Aldis etc," he said.
"That of course does have a flow-on effect to the branded wines. If people are a
ble to buy buyers' own brands at very cheap prices, it naturally adds some prici
ng pressure to your more popular and well-known brands."

Meanwhile, grape growers in South Australia's Riverland have welcomed the propos
al for a partial compensation package.
About 600 people attended a rally yesterday, hearing proposals from the local gr
ower association, which will be put to Friday's wine industry summit in Melbourn
e.
The package recommends growers with uncontracted grapes be paid $5,000 per hecta
re to not harvest them in the hope of reducing the national oversupply.
The $80 million cost would be shared by governments and industry.
Loxton grower Glen Arnold says he hopes the proposal is considered.
"It's a way forward for growers to have some hope," he said.
Canola price on the way up
The price outlook for canola has improved over the last few weeks, with Canadian
carry over stocks and projected plantings being reduced.
As well, Canada has reported improved crush tonnages and canola exports.
Katie Cole, from Cooperative Bulk Handling in Albany in Western Australia, says
there is also good news on canola pricing from Europe's bio-fuel industry.
"Europe is also the last major reason why we're seeing some really good news in
the canola market and that's the bio-diesel industry," she said.
"Europe's expected to double it's consumption of vegie oils for bio-diesel this
year which will mean going up from 3 million tonnes to 6 million tonnes.
Station sale to allow for expansion
The head of Heytesbury says the sale of two of its cattle stations will allow fo
r more strategic investment into its existing live export cattle and wine busine
sses.
Heytesbury announced the $97 million sale of Anthony Lagoon and Eva Downs Statio
ns in the Northern Territory to Australia's biggest beef producer, Australian Ag
ricultural Company, on Friday.
Chairman Janet Holmes a Court says while there are no immediate plans to purchas
e other stations, the company might look to consolidate some of its operations.
"It gives us the opportunity also to maybe expand our wine operations or buy oth
er properties that are closer to the VRDs and the Kimberley properties that we a
lready have," she said.
Raspberry levy to go into marketing
Raspberry growers across Australia will have to pay a new industry levy from Jul
y 1 to cover costs of more research and development.
The $13 million industry is set to be boosted by the 10 cents a kilo levy, which
will be collected by wholesale agents and supermarkets, and imposed on exported
berries.
Tomato growers aim for sweet success
Growing sweeter tomatoes has been identified as the major goal for Australian gr
owers over the next five years.
Processing tomato growers, whose crops are made into paste and sauce, are curren
tly drawing up their Industry strategic plan.
Over the last 30 years, the amount of tomatoes produced per hectare has risen fr
om 25 to 84 tonnes.
But the chair of the Australian Processing Tomato Research Council, Ian Bryce, s
ays their taste suffered.
"The sweetness of tomatoes has gone down," he said.
NFF concerned about Snowy Hydro privatisation
Opposition to the privatisation of Snowy Hydro continues to build.
The nation's chief rural lobby group has, for the first time, expressed serious
concerns about the sale and its effect on the National Water Initiative.
The National Farmers Federation (NFF) fears little regard will be given to farme
rs who rely on Snowy Hydro's water if the scheme is sold-off.
And NFF president Peter Corish says funds from any privatisation should be used

to protect the environment, irrigators and affected river communities.

He has also called for tighter regulation of Snowy investors, including a perman
ent 10 per cent cap on ownership of Snowy shares.
"We want to ensure private ownership of the water behind a dam wall, which is so
mething that is certainly new, it's a new principle for us in Australia that doe
sn't negatively impact on the people who benefit from that water currently," he
said.
The three federal independents will table a motion in Parliament today, calling
for the sale to be blocked entirely.
And Nationals MP Kay Hull plans to introduce a private member's bill into Federa
l Parliament to permanently cap individual shareholdings in Snowy Hydro to 10 pe
r cent.
The legislation would also stipulate that the majority of directors be Australia
n and that the head office remains in this country.
Mrs Hull opposes the sale, but says, as a last resort, this bill would limit for
eign ownership.
"I will continue to fight the sale, this is a safety net in the event the sale c
an not be ceased," she said.
"I want to ensure that enshrined in legislation is all of the safeguards that ne
ed to take place to ensure that big companies and overseas companies can't come
in and buy up the Snowy."
It is unclear whether the private member's bill will receive the support of the
Government or the Opposition.
Snowy River clearance work 'too little, too late'
A group of farmers in Victoria's Gippsland region says blockages at the mouth of
the Snowy River are being overlooked.
Reduced flows and drought have caused a sandbar to form across the mouth of the
Snowy at Marlo, flooding local pastures and crops.
Clearance work began yesterday but residents say it is too little, too late.
Parks Victoria ranger Dennis Matthews says opening the mouth of the Snowy is dif
ficult and he sympathises with farmers whose properties have been flooded.
"It's not easy being a farmer enduring drought and so on, and then having someth
ing like this happen," he said.
"I can understand fully their plight A lot of people farm in low lying areas so
I can understand that they would like to see conditions of opening changed.
Queensland Nationals leader Lawrence Springborg is pushing ahead with his plans
to merge his party with the Liberals despite significant opposition from both fe
deral Coalition party leaders.
The Prime Minister says he will only support the Nationals becoming Liberals, wh
ile federal Nationals leader Mark Vaile is worried his party will be destabilise
d by the discussions.
This morning in Canberra, National and Liberal politicians were locked in a join
t party room meeting discussing the proposal but Mr Springborg says he does not
need their approval.
"Queensland could still go it alone and there's a whole range of ways that you c
an do this to accommodate the concerns that have been raised because those matte
rs have not had the chance to be able to be put," he said.
Beef industry helps out in quake recovery effort
The Australian beef industry is helping with the recovery in quake-hit Yogyakart
a in Java.
Feedlotters, including the Consolidated Pastoral Company's Indonesian Joint Vent
ure, are among those helping fund aid for 100,000 homeless people.
Nurendro Trikesowo of the Indonesian Cattle and Buffalo Farmers Association says
he is installing 20 health clinics and 20 simple water filters this week.
"That is just a pocket filter system, using some ceramic filters, to make the pu
rification of the water, filtering the water from [toxic bacteria such as] E. co
li," he said.
"That is an important thing, that the water will be hygienic to drink for the pe

ople. [But] we are just a small part because they need a lot of funds for the re
covery and reconstruction.
Goat meat processor seeks more overseas workers
The meat processing industry is negotiating with the Immigration Department abou
t the use of overseas workers.
The nation's largest goat meat processor, Neil Duncan of Charleville in Queensla
nd, says he needs more overseas workers if he is to stay in operation.
But Mr Duncan says the department has stopped processing applications for skille
d workers under the 457 visa program.
"The Immigration Department needs to recognise that the meat industry does need
skilled workers," he said.
"We can source skilled workers from overseas. They are there waiting and unless
they actually start processing our applications, the meat industry in Australia
is going backwards.
"We've got to the stage now where we're turning away livestock. We can't process
livestock because we just don't have the people to be able to do it."
Grain boosts ABB profits
South Australian agriculture company ABB grain has announced a 24 per cent rise
in after tax, half-year profit.
The result for the two-year old corporation is largely attributed to a 35 per ce
nt increase in grain receivals for the last season.
Grain market analyst, Malcolm Bartholemaeus, says that despite the malting secti
on of the company struggling, it is still a strong result.
Wheat consortium expected to announce Iraq deal
An Australian consortium negotiating a 350,000 tonne wheat contract with Iraq is
expected to announce this afternoon it has sealed a deal worth close to $100 mi
llion.
Last Monday, Wheat Australia said it had failed to come to suitable terms with I
raq and negotiations for the $90 million dollar deal were over.
Strawberry prices tipped to fall
Strawberry prices could fall dramatically later this year.
Queensland's strawberry season is under way, with growers enjoying the best pric
es they have seen in over a decade - up to $8 a punnet in some supermarkets.
But Bill Sharpe, from the Queensland Strawberry Growers Association, says there
will be an oversupply and rock-bottom prices by September.
"Somewhere along the line the middle man get certainly the benefit of it with th
is oversupply, but the blame is sort of twofold anyway," he said.
WA bans biodiesel plants
Western Australia's Agriculture Protection Board has placed a state-wide ban on
two plants being heavily promoted on the Internet as sources of biodiesel.
Bellyache bush and physic nut are both invasive plants, highly toxic to humans a
nd livestock.
Both plants are already on the WA declared plants list, but their status has bee
n upgraded to make sure they are banned state-wide.
Hundreds of stock horses to gather for Polocrosse World Cup
Up to 200 Australian stock horses will be drafted for next year's Polocrosse Wor
ld Cup in Queensland.
The event will see eight international teams play over a 10-day period in April,
at Warwick on the Darling Downs.
World Cup chief horse coordinator, Kent Wells, said it is the nation's biggest r
ecruitment of horses in peacetime.
"Every state will have some," he said.
Young Aussies urged to see outback

From the tracks of Birdsville to the Tanami Desert, the administrator of the Nor
thern Territory has called for an outback visit to become a rite of passage for
young Australians, similar to the Gallipoli pilgrimages on Anzac Day.
Ted Egan has proposed a heritage tour, which would particularly encourage city k
ids to head to the bush.
He says it would help show important elements of this country's history,
Extension granted for forestry tax change submissions
An extension of time has been granted for submissions on the changes to plantati
on forestry taxes.
Some of the changes include putting a cap on expenditure on plantations in the f
irst year and tax write-offs being conditional on best practice being used.
The closing date for submissions has been extended for another month, until midJuly.
Assistant Treasurer Peter Dutton says it is in response to requests for more tim
e from a number of affected farmers and foresters.
But he denies there has been a backlash to the proposed changes.
"Right around the country in rural areas some farmers are strongly in favour of
the way in which these forestry plantations are operated," he said.
"Other farmers outside of the industry have concerns that there is the potential
for high prices, inflated prices to be paid for land.
Mixed predictions for pulp mill
Shareholders of Tasmanian forestry giant, Gunns Limited, have been advised that
the company's plans to build a pulp mill are risky and they should sell their sh
ares.
The Commonwealth Bank's shares and stockbroking arm, CommSec, predicts Gunns' pl
anned $1.4 billion pulp mill will never be cost-effective.
But industry analyst, Robert Eastment, says he has checked the facts in the repo
rt, and does not believe the negativity is warranted.
"It's just another report. There are some good ones, there are some bad ones," h
e said.
Grain consortium hopeful of more deals with Iraq
Australian grain consortium Wheat Australia says it does not envisage any shippi
ng problems when it begins the export of 350,000 tonnes of wheat to Iraq in the
next month.
Twelve weeks of negotiations concluded yesterday when Wheat Australia announced
the $100 million wheat contract with Iraq had been finalised.
Spokesman Rhys Ainsworth says with one agreement reached, Wheat Australia is kee
n to explore further market opportunities.
"I think the good thing about the position that Wheat Australia has got to now i
s that we have agreed on commercially workable terms that we believe can provide
Wheat Australia with a solid platform that will enable it to continue what has
been a very long association with one of Australia's most critical international
markets," he said.
Plum Grove commodity trader Tony Smith says the deal is good news for Australian
growers but prices are still below what farmers in the United States would rece
ive.
He estimates the deal to be worth around $190 a tonne, about $30 below expectati
ons, but does not believe AWB could have done much better.
"At the end of the day, this deal would not have gone ahead if the AWB wasn't ha
ppy with the price," he said.
"So there's no way the AWB could've got more. You know, Wheat Australia did ever
ything they could. There's definitely people who are going to come out and make
those comments and they're just political comments, scaremongering.
Planned merger not achievable, Vaile says
Federal Nationals leader Mark Vaile says a proposal to merge the Queensland Nati
onal and Liberal Parties now won't go ahead.

He met with Queensland Nationals leader Lawrence Springborg yesterday and while
he denies he has convinced Mr Springborg to abort the plan, Mr Vaile thinks the
merger is not achievable.
He says effort now needs to go into developing the Queensland Coalition.
"Clearly if you look at the public comment and concern that's been raised we are
fast reaching a point where that is not going to be achievable," he said.
"So my view we need to ensure that Queensland moves ahead developing and refinin
g the existing Coalition arrangements in Queensland."
Deputy federal leader of the Nationals Warren Truss says there is strong support
for a united conservative force in Queensland but the merger model was unfair a
nd unworkable for members of the National party .
Snowy Hydro foreign ownership cap not enough: rice growers
The Ricegrowers Association of Australia says the cap on foreign ownership of Sn
owy Hydro is not enough to protect irrigators' interests.
The New South Wales, Victorian and Federal Governments yesterday agreed to perma
nently limit foreign ownership of the scheme to 35 per cent, with a cap of 15 pe
r cent for individual foreign investors.
But Ricegrowers Association president Laurie Arthur says that would not prevent
a large Australian company buying a majority stake.
"It's some recognition that the governments are listening to the concern that ha
ve been put to them," he said.
"It doesn't go far enough, we still believe there's the capacity for an Australi
an company to have undue influence as regards to the licence that control the wa
ter and the release of water."
The Murray Darling Basin Commission and the National Farmers Federation are also
worried about aspects of the deal.
But federal Agriculture Minister Peter McGauran says regardless of who owns Snow
y Hydro, the interests of irrigators are guaranteed in the Snowy water licensing
agreement.
"It was developed by the Australian, New South Wales and Victorian Governments a
t the time of corporatisation specifically to protect security, it guarantees th
e volumes for irrigators," he said.
McGuigan Simeon writes down wine stocks
Wine company McGuigan Simeon will write down wine stocks by up to $20 million an
d will not pay a final dividend to its shareholders this year.
On Monday the company asked the Australian Stock Exchange to halt its trading un
til this morning, when the results of an operational review were released.
Managing director Dane Hudson says the company was forced to write down stocks b
ecause of the recent decline in bulk wine prices.
"It's a small percentage of our total stock," he said.
"This is probably a 9 per cent reduction and it's for older vintages. We are com
fortable with our 2006 vintage but this is older stock that we need to reprice t
o clear on the bulk market."
Survey points to excellent outlook for dairy farmers
There is an excellent outlook for Australia's dairy industry.
Dairy Australia has released its latest report based on the annual dairy farmer
survey and interviews with industry members.
The report finds nearly two thirds of dairy farmers are looking to increase the
scale of their operations but many smaller operators are selling out or changing
to beef or crops.
Increased demand means strong price competition for suppliers between processors
.
But one of the report's authors, Steve Spencer, says processors are concerned th
at tight supply will mean a loss of markets.
Naracoorte meatworkers angry over wages
Local workers at a South Australian abattoir are angry that their hours have bee

n cut, while Chinese employees on temporary visas are being paid full-time wages
.
Two hundred and sixty Australian workers at the Teys Brothers meatworks at Narac
oorte have been working a four-day week because of a shortage of stock.
But even though the Chinese workers are working a similar number of hours, their
visa conditions require that they receive a full week's pay.
Graham Smith, from the Australian Meat Industry Employees Union, says it is absu
rd.
"The meat industry is seasonal to start with," he said.
"Where the terms of the visa are that you've got to have a severe skills shortag
e that you've got to fill, it seems absurd that in an industry where we stand pe
ople down for large parts of the year because there's no work for them, that you
can say there's a corresponding skills shortage."
Farmers give Vic Budget thumbs down
The Victorian Farmers Federation says the Victorian Budget has failed to target
pressing road, rail and water infrastructure needs in rural areas.
In fact, the farming body says the State Budget is so disappointing that it may
campaign against the Bracks Government during the November election.
VFF president Simon Ramsay says while funding for education is welcome, the Budg
et is one of missed opportunities.
"The roads is the main one," he said.
Lettuce aphids found in SA
The currant lettuce aphid has been found in South Australia for the first time.
Authorities have detected the pest on properties in the Adelaide Hills and the n
orthern Adelaide Plains.
The aphid was found in Victoria last year and has plagued lettuce crops in Tasma
nia since 2004.
Originally, South Australia banned imports of interstate lettuce to protect the
industry, but this has now been removed.
Tas apple industry facing challenges
The future of apple growing in the Apple Isle is being re-examined, in the light
of increased global competition, a high dollar and increasing production costs.
Fruit Growers Tasmania has held a growers meeting to discuss the challenges.
One of the more well-known orcharding families, the Drieesen brothers at Castle
Forbes Bay, is opting out of the industry after 50 years.
Jos Driessen says the land, overlooking the scenic D'Entrecasteaux Channel, will
be sold to sea changers.
"My plans for the future are to retire. I've been losing the passion to grow app
les. I think it's becoming a more difficult industry to be in," he said.
Flinders Is may go native under tourism plan
One of South Australia's biggest islands could become an ecotourism venture.
Peter and Pam Woolford have begun discussions with the Department of Environment
and Heritage about de-stocking Flinders Island, which is off Elliston on the st
ate's west coast.
Mr Woolford says he wants to control the feral animals and reintroduce native pl
ants and animals.
"What I'd like to see is the native flora and fauna returned more to its natural
state," he said.
"We have some feral animals there, which are probably an inheritance off the Kup
ara, which ran aground on the island in 1946.
Labour shortage hits northern NSW
More than 50 agricultural jobs are currently going begging on the New South Wale
s north coast despite unemployment there being almost double the national averag
e.
The beef, chicken and pork industries are facing a critical shortage of labour.

Northern Co-operative Meat Company's Gary Burridge says local businesses are fin
ding workers are turning away from the rural sector.
"We in our organisation are suffering a severe shortage of highly skilled labour
and semi-skilled labour," he said.
Govt blueprint for the bush revealed
The Beattie Government has unveiled a long-awaited $150 million blueprint for ru
ral and regional Queensland.
The blueprint is a three-way partnership between state and local governments and
the lobby group Agforce.
It came out of anger over tree-clearing laws and a feeling of neglect by the reg
ions west of the Great Dividing Range.
It aims to improve the sustainability, liveability and profitability of regional
Queensland.
It covers a new agreement allowing for up to 50 year leases and a commitment to
reviewing how tree clearing laws are implemented.
It is also going to pay farmers to be stewards of the environment.
Govt expected to abandon diesel fuel rebate changes
The Federal Government is expected to announce a backflip on proposed changes to
its diesel fuel rebate later today.
Under the current system, fuel energy credits are refunded to farmers and other
big diesel users through cash payments to bank accounts.
The Government had planned to add the refund to GST rebates, which industry said
would create a cash-flow nightmare.
Labor targets regional Coalition voters
The Federal Opposition has moved to capitalise on the turmoil within the Nationa
ls, launching a drive to win over disaffected Coalition voters in regional Austr
alia.
Labor leader Kim Beazley met with the National Farmers Federation (NFF) last nig
ht.
He says he wants to open a new dialogue directly with regional Australia.
Mr Beazley says Labor and farmers have plenty in common, despite Labor's opposit
ion to the Workchoices policy and importing foreign workers, which are both supp
orted by the NFF.
Mr Beazley says the party will win seats in regional Australia at the next elect
ion based on what he says is a cumulative affect of issues like the sell-off of
Telstra, Australia's trade performance and the now defunct Nationals merger.
"After a while everyone wakes up and this is what's happening now," he said.
Mr Beazley says regional development spokesman Simon Crean and disendorsed Oppos
ition agriculture spokesman Gavan O'Connor will lead the regional policy push.
Beef exporters brace for US competition
The United States is hoping to cut Australia's $500 million beef market to South
Korea when exports resume next week.
Meat and Livestock Australia's regional manager in Korea Glenn Feist says export
ers are bracing themselves for major competition for the first time in more than
two years.
He expects to see export levels drop but hopes Australia will be able to hold on
to a market share of around 50 per cent.
"Australia won brand of the year twice in a row here with the country of origin
labelling with our statement: 'Australian beef clean and safe'," he said.
"But since the US has been out it has given us an opportunity and we grow beef f
or the five star dining hotels and that sort of stuff - we have got manufacturin
g beef for the McDonald's and the Burger King [chains] and those guys.
"So I think we will hold our own pretty well up here."
The Cattle Council says Australian producers are likely to retain their strongho
ld on the market for bone-in beef in Korea.
The amount of US beef allowed in will be limited by a continuing ban on cattle o

ver 30 months of age, which will help Australia remain competitive, according to
council president Bill Bray.
"The main trade in beef into Korea has been the bone-in short rib and we've been
asked to continue to supply that because we have the highest freedom-ranking fo
r BSE in the world," he said.
Irrigation charge increase expected to hurt farmers
Many New South Wales irrigators look set to pay more for the delivery of their w
ater.
The Independent Pricing and Regulatory Tribunal has released a draft report prop
osing significant increases to bulk water charges.
The impact will vary across the State but Murray Irrigation is expecting charges
to rise by 80 per cent over four years.
General manager George Warne says that is going to hurt farmers.
"Governments don't realise that we've been beaten up by four or five years of dr
ought," he said.
Wool broker plays down buyer protest
Tasmanian wool broker, Roberts Limited, is playing down a protest by buyers at a
n auction in Melbourne this week.
Sources claim a large number of buyers did not bid on the Roberts catalogue beca
use they believe the company's new wool pool, to supply fibre direct to customer
s, will cost them their commission.
Of 2,500 bales offered by Roberts, 38 per cent were passed in.
Murray Best from Roberts has confirmed the protest but says it only involved fou
r buyers.
He says the company only wants to sell 10 per cent of Tasmanian wool through the
pool system but admits that figure could increase.
Simplot increases prices for pea growers
Vegetable processor Simplot says it is responding to the concerns raised through
the Fair Dinkum Food Campaign by offering Tasmanian farmers better prices and c
ontracts for their peas.
Simplot wants to almost double the amount of peas it buys to meet new demand fro
m the major supermarket chains for Australian-grown product.
Managing director Terry O'Brien is also hoping a 6 per cent price rise will enco
urage growers back into the industry.
"I'm encouraging them to think about the fact that they stimulated a lot of inte
rest last year with their tractor trip to Canberra," he said.
Cattle feedlot given green light
The New South Wales Government has approved a $60 million cattle feedlot at Moir
a Station near Mathoura in the southern Riverina.
The 160,000 head feedlot will be one of Australia's biggest and include a feed m
ill and hay processor.
The State Government has ordered the developers to start the feedlot operating a
t half capacity, with an independent audit required before production can be inc
reased.
Export markets go feral over turn-off label for goat meat
The goat industry is being urged to ditch the term "feral" and relabel its meat
to Australian "rangeland" goat.
While there has been a big jump in the number of farmed meat goats in Australia,
at least half of the country's exports still come from the feral goat populatio
n in semi-arid rangeland country.
John Hayes, from the Wodonga abattoir, which exports to the US, says the term fe
ral is a big turn-off for overseas buyers.
NQ school to set up vet training centre
A north Queensland boarding school is tackling a shortage of rural vets head on.

The Columbia Catholic College plans to build a veterinary training centre on its
campus in Charters Towers.
College principal Althea Norton hopes investing more than $300,000 in a new cent
re will encourage more students to take up vet science.
Teens urged to consider joining cattle industry
More teenagers are being encouraged to consider joining the cattle industry as p
art of a partnership between a public high school and a cattle station.
The Northern Territory's Coodardie Brahman Stud supplies weaner steers to Taminm
in High School on Darwin's outskirts.
The bush steers are broken to halter and presented for show and sale by the stud
ents.
Stud director Moira O'brien says it helps to give them a better understanding ab
out the production and marketing cycle of the cattle industry.
"We really enjoy helping them out and working in their program, and I think it's
really important for that industry community, collaboration, and anywhere where
we can encourage young people and teach city people about agricultural life and
cattle station workings and the industry, I think is really, really important,"
she said.
Irrigators pass no confidence vote in NSW Govt
A vote of no confidence has been passed in the New South Wales Government over i
ts handling of the sale of Snowy Hydro.
The move by Riverina irrigators comes as Finance Minister John Della Bosca meets
with concerned farmers today at Deniliquin in the state's south.
Last night in Deniliquin, 300 people showed their displeasure at the New South W
ales Government's handling of the sale of Snowy Hydro.
Mr Della Bosca was invited to the public meeting, organised by the Nationals but
declined.
Today, in the same town, he will talk with irrigators in a closed meeting to hea
r their concerns about the sale of Snowy Hydro.
Organised by the Southern Riverina Irrigators Group, farmers say they are worrie
d about what will happen to water entitlements if the Snowy scheme is privatised
.
Irrigators relieved at Snowy Hydro sale collapse
Irrigators say they are surprised and relieved at the collapse of the sale of th
e Snowy Hydro electricity scheme.
The Federal Government pulled out of the sale this morning, citing concern from
backbenchers and growing public opposition.
The New South Wales and Victorian Governments have also backed down.
Laurie Arthur from the Rice Growers Association says he did not think there was
any way to stop the sale.
He says irrigators were worried about their access to water once the scheme was
privatised and most will be pleased with the about-turn.
"I'm sure probably 80 per cent of irrigators are delighted that Snowy Hydro will
not be privatised," he said.
"I think some of our people think that governments don't do a particularly good
job of running companies and so it's still a very complicated issue and I would
predict that we haven't actually seen the last of it within the next 10 years wo
uld be surprised if it doesn't raise its head again."
Prime Minister John Howard says although irrigator licensing conditions were a f
actor in the Government's decision, it was public opinion that forced the change
.
Govt urged to protect local ethanol industry
The ethanol industry says it will be devastated by a Federal Government proposal
to allow cheap imports into Australia.
Legislation table in Parliament calls for the excise on imported ethanol to be r
educed by 2011 to the same rate as locally-produced biofuel.

It also outlines a planned increase in taxes for Australian-made ethanol from 2.

5 cents a litre to 12.5 cents.
Bob Gordon from Renewable Fuels Australia says the Government should do more to
protect the local industry.
"Unlike other countries we are going to be one of the first countries in the wor
ld to actually tax renewable fuels," he said.
"Now we're prepared to live with that but we want a regime for transition that s
timulates new industry growth rather than undermining it.
"The one proposed in the tax Bill will clearly undermine that goal."
Resources Minister Ian Macfarlane has denied the claims.
He says ethanol will still have an excise advantage over petrol and the industry
has had years to prepare for the changes.
Meanwhile the Federal Government has decided to phase in its changes to the dies
el fuel rebate, to give farmers and transport operators time to adjust.
The plan will replace cash payments to farmers with a refund added to GST rebate
s and was due to be implemented on July 1.
But now, during a two-year transition period, farmers will be able to claim thei
r rebate, but will also have to report it in business activity statements.
South Australian farmer Doug Hall says that will make the system more complicate
d.
"I just don't see it being any easier at all, it just doesn't make sense to me s
o why are they playing around with this you know, who is the winner at the end o
f the day?" he said.
"I'm certainly not sure it's the farmer, it's the damn Government again."
The renewable energy industry wants a national incentive-based market to encoura
ge consumers to use cleaner fuel.
It has released a report looking at development to 2050, in which renewable ener
gy will be cheaper, have high export potential and provides a clean and cheap so
lution to climate change and energy shortages.
David Holland from Renewable Energy Generators Australia says the Federal Govern
ment should extend tax breaks to get the technology up and running.
"The technologies will always be more expensive than the old process of pulling
coal out of the ground and setting fire to it," he said.
"The environment is a critical issue not just for Australia but for the planet a
nd really the governments are the only people that are in the position to take t
hat leadership but there needs to be some systemic processes that drive the move
towards renewables."
The Government has rejected the call, saying hundreds of millions of dollars hav
e already been allocated to renewable energy generation.
Code of practice limits use of sow stalls
The pork industry has agreed to limit the use of sow stalls under a new code of
practice for the welfare of pigs.
Australian Pork Limited, the peak body representing producers, says it will redu
ce the amount of time pigs spend in the stalls, from the full 16 weeks of pregna
ncy to six weeks.
Peter Robertson from the New South Wales Farmers Association says it is a proact
ive step to improve animal care.
"The industry has taken the decision that we have to concede that we need to hav
e sows with a little more exercise during gestation," he said.
"By the same token we need the sow stalls for the first six weeks that they are
pregnant so that they do not abort and have other problems at that stage."
Hunter Valley coal miners remain on strike
One hundred Hunter Valley coal miners are into the second day of a week-long str
ike after a breakdown in talks over wages and conditions.
Workers at the Xstrata-owned United Colliery are the first to undertake a courtapproved stoppage under the new federal industrial relations reforms.
They have been attempting to settle on a new enterprise agreement since December
.

Xstrata says it has made a good offer and believes the strike is part of a broad
political campaign by the unions.
But Grahame Kelly from the CFMEU says the offer does not reflect the performance
of the work force.
Boral Timber mills to close
Boral Timber is closing two mills on the north coast of New South Wales as part
of a major restructure.
The Kempsey and Bostobrick Mill near Dorrigo will close, with the loss of 47 job
s.
Grain growers told to stop sowing crops
Western Australian grain growers are being told to stop sowing crops because the
re is no rain in sight for at least two weeks.
Many farmers have already planted a good percentage of their crops and state aut
horities say they need to assess their financial position.
Peter Metcalf from the Department of Agriculture in Geraldton says it is time to
pull up the seeders and start making a plan for the rest of this season.
"What tends to happen in this situation, which is a very unusual situation, most
growers haven't previously been in this state, or these conditions previously,
is that you start the program and you continue on," he said.
Violence hits E Timorese agriculture
East Timor's agriculture sector has been seriously affected by recent violence.
Fires, looting and mayhem in the capital Dili have destroyed eight years of rese
arch and documentation.
The price of fresh fruit and vegetables has also sky-rocketed.
Minister for Agriculture, Forestry and Fisheries, Estanislau Da Silva, also fear
s coffee exports could be down by more than half.
"Now we are in the coffee season. It's the harvesting coffee season and this can
have a tremendous impact on the livelihood and the people who depend on coffee,
" he said.
Ugly sheep could save wool industry
The search is on for the ugliest merino lambs, because they could save Australia
's billion dollar wool industry.
Scientists from the South Australian Research and Development Institute (SARDI)
and the University of Adelaide are looking for sheep with 'unusual wool', saying
they hold the key to improving the genetic quality of merino wool.
Professor Phil Hynd from the University of Adelaide says lambs are usually culle
d because they have uneven wool, no crimp or bare patches.
He says studying the lambs will help them identify genes which affect wool produ
ction.
"We've already got about half a dozen animals that producers provided us with an
d man, they're the weirdest looking mob of sheep that you've ever seen in your l
ife," he said.
"They're quite embarrassing really, even the sheep look embarrassed.
Indonesian fishermen to face court over alleged poaching
Twelve Indonesian fishermen will face court in Broome today, accused of poaching
the sea cucumber delicacy, trepang.
Wine grower suggests pulling out cool climate vines
A respected South Australian vigneron has suggested pulling out grape vines in c
ool climate vineyards and putting the land to other use.
Coonawarra vigneron Ian Hollick says grape growers in cooler areas have been sel
ling fruit at below the cost of production for the past three years, and there i
s no end in sight.
He does not think a proposal to compensate struggling grape growers is the way f
orward for the industry.

"I think its getting to the stage where we have to really bite the bullet and sa
y that we need to remove so many thousands of hectares of cool climate grapes,"
he said.
Farmers still want access to Snowy Hydro documents
Farmers still want access to confidential information about water releases from
Snowy Hydro, despite the collapse of plans to sell the electricity scheme.
Last week the New South Wales Government promised to let a delegation of farmers
see documents relating to when water is released for irrigation.
Within 24 hours the Federal Government had withdrawn from the sale and it was ab
andoned.
Chairman of Southern Riverina Irrigators Ted Hatty says farmers will hold the St
ate Government to its promise.
Doctors urge govt reform on rural medical services
Doctors say access to obstetric services in rural Australia is becoming critical
and are calling for urgent government reform.
In allegations to be aired on ABC's Four Corners program tonight, doctors also c
laim that in some areas chemotherapy is being administered by people without for
mal qualifications.
They have also raised concerns about the loneliness of cancer patients forced to
move to the city for treatment and the pressures that are forcing doctors to pa
ck up and leave country towns.
Dr Ross Maxwell from the Rural Doctors Association says the problems are acute a
nd most efforts to solve them are not making much difference.
"We have been reluctant to try and look at the economics around rural and remote
practice and say well if the mining industry want to get professionals out into
a remote community they make sure the conditions are right and attractive and c
an get them out there," he said.
Group seeks Govt help to reduce regional alcohol abuse
A national alcohol rehabilitation group is calling on the Federal Government to
help stem the rise of alcohol abuse in regional Australia.
The Alcohol Education and Rehabilitation Foundation wants the Government to fund
ongoing campaigns in rural areas because the level of injury and death from alc
ohol are much higher than in the cities.
Foundation chief executive Daryl Smeaton says it does not make sense that $2 bil
lion has been spent on campaigns against illicit drugs, when only 5 per cent of
the population use them.
He says for 85 per cent of people, alcohol is their drug of choice.
"We think of a drug problem, we think of cannabis and amphetamines because that'
s what the Federal Government keeps on telling us," he said.
Tas cow tests positive for hydatid tapeworm
A Tasmanian bred cow has tested positive for the hydatid tapeworm, the state's f
irst case in a decade.
Tasmania embarked on a world leading hydatid eradication program 40 years ago an
d while hydatids have been discovered since, most have been traced to imported s
tock.
The state was declared provisionally-free of hydatid disease in 1996.
Chief vet Rod Andrewartha says the infected cow was part of a mixed line of catt
le.
"Occasionally of course we will detect cysts and we can normally trace them back
to sheep or cattle imported from the mainland, in this particular case we found
it in an animal which was born and bred in Tasmania," he said.
Herpes-like virus threatens Vic abalone stocks
Efforts are under way to control a herpes-like virus which is killing abalone of
f the south-west Victorian coast.
The disease, ganglioneuritis, has been detected at four farms in south-west Vict

oria and at Flinders near Port Phillip Bay, with millions of dollars worth of st
ock having to be destroyed.
Fisheries Victoria says the disease has now escaped into the wild off Port Fairy
.
Fisheries executive director Peter Appleford says although a similar disease dev
astated the abalone industry in Taiwan in 2003, he is hopeful control measures w
ill stop a further spread here.
"What we're looking at is to put some controls in place along the coastline to l
imit the activity there," he said.
Dept, fishermen warn of imported prawn disease
Queensland's Department of Primary Industries has issued a warning against using
imported raw prawns as bait, amid growing concerns they could carry disease.
Commercial fishermen want raw prawn imports stopped, claiming health inspections
are too random.
They say up to 60 consignments have recently tested positive for white spot dise
ase, the so-called foot and mouth of prawns.
Dr Ian Anderson, Queensland's principal veterinary pathologist on fish disease,
agrees that imports do pose a threat.
"Prawns imported for human consumption can get purchased by recreational fishers
and then used in their fishing activities and so that is a potential route of t
he spread of the virus from the imported product for human consumption through t
o our wild fishery stock," Dr Anderson said.
Lobster fishermen deny flooding market with snapper
South Australian lobster fishermen have rejected claims they are flooding the ma
rket with snapper and forcing down prices.
The SA Rock Lobster Advisory Council says fishermen are entitled to fish for sna
pper in the lobster off-season but have only caught 10 tonnes of the fish since
July last year.
Spokesman Daryl Spencer has denied claims that two lobster boats unloaded 10 ton
nes of snapper each at Port Lincoln at the weekend.
"There's one boat at this point in time since the end of our lobster season that
's actually targeted snapper and in the 10 days that he has been fishing, he's t
aken in total 3.9 tonnes in total," he said.
Indonesian fishermen jailed for poaching sea cucumbers
Eleven Indonesian fishermen have been jailed after being caught poaching the sea
cucumber, trepang, in Australian waters north of Broome in Western Australia la
st month.
They were on board two boats intercepted by the Navy at Scott Reef.
One of the captains has been sentenced to seven months jail, while the other cap
tain and nine crew members have been fined.
They will spend between three and six months in jail because they could not pay
the penalties.
March floods continue to impact on Ord River crop yields
Horticulturalists in the far north of Western Australia are still feeling the ef
fects of floods which hit the Ord River region earlier this year.
In March, 300 millimetres of rain fell within 24 hours, making sown crops look l
ike rice paddies.
Farmer David Menzell says he should now be in top-gear harvesting melons but has
lost a whole month of production,
Historic SA outback hotels set for sale
An increasing number of hotels are up for sale in outback South Australia.
Among them are the Oodnadatta Roadhouse and the iconic Mungerannie Hotel on the
Birdsville Track.
Publican Genevieve Hammond says after 11 years they have decided to move from th
e desert and head north to the tropics of north Queensland.

She says although fewer people want to move to remote areas, they have already g
ot some interested buyers.
Students showcase environmentally sound projects
School students from New South Wales, Victoria and the ACT are in Canberra for a
Youth River Health Conference.
The students have been working on environmental projects in the classroom and wi
ll give presentations in the form of music, dance, skits and board games.
Projects range from wildlife habitats to compost systems in playgrounds.
CSIRO report urges rural, urban water trading
A major scientific report says city water authorities should be allowed to buy w
ater from farmers to sustain the growing urban population.
The CSIRO says without reform, water costs in metropolitan areas could rise more
than 10 times over the next 25 years.
The report from the CSIRO and Monash University predicts Perth, Brisbane and Syd
ney will be the worst affected cities with the price of water jumping up to 10 t
imes unless better reforms are put in place.
Three models have been tested and CSIRO says the most successful would be a comb
ination of urban and rural water trading, alongside more efficient water use inc
luding desalination plants.
And while farmers could make a lot of money from water trading, the system would
change the face of agriculture in Australia.
The CSIRO's Mike Young says urban/rural water trading is already working in Sout
h Australia and WA farmers are leading the way in saving water.
"Agriculture's a lot more skilful in improving water use efficiency and in 25 ye
ars time they've made a 50 per cent greater advance than urban Australia, so the
re's a challenge for urban Australia to catch up and show they're actually as sm
art as our farmers are," Mr Young said.
Bit some irrigators are worried about the social impact of water being diverted
into the capital cities.
Although he believes some form of water trading with the cities is inevitable, V
ictorian dairy farmer Max Fehring says governments need to make sure urban resid
ents share the cost of water infrastructure with rural communities.
Aust wheat price surges on back of international season
There is finally some good news for grain growers today, with international comp
etition driving a big surge in wheat prices for the 2006-07 season.
AWB has released its first price estimates for wheat delivered to the national p
ool next harvest, with the benchmark Australian Premium White Wheat sitting at $
222 a tonne, up $30 on last season.
National Pool manager David Johnson says while prices can still change, Australi
a is in a good position to capitalise on lower world production figures.
"We have a much stronger fundamental story around hard wheats in particular at t
he moment, with the US hard red winter crop experiencing some production difficu
lties," he said.
Expensive feed grain prices impact on graziers
Graziers buying grain to feed livestock this winter are feeling the pinch, with
prices continuing to rise.
Dry conditions, higher petrol prices and strong global grain prices are all affe
cting the cost of feed grain.
Ron Storey from Australian Crop Forecasters says the success of grain-fed beef e
xports is also putting more demand on supply.
"Our demand here for grain domestically is being underpinned very, very solidly
by a very strong feedlot cattle market, with grain-fed beef being in strong dema
nd where BSE has given Australia pretty much by most of the market," he said.
Aust Farm Institute urges drought policy reform
The latest conclusions on drought policy reform, prepared for the Australian Far

m Institute, say farmers should be encouraged to be better prepared for drought

and governments need a major overhaul of how financial assistance is provided.
Several experts have prepared papers for the Institute and most agree that curre
nt drought policy is too focused on crisis management.
Financial adviser Rob Brown argues the policies penalise farmers who run their b
usiness in ways to cope with drought.
"If you have prepared, in fact if you've done the things that are the objectives
of the drought policy, then you won't be eligible," he said.
And while there is a belief that government policy can actually worsen the wellb
eing of farmers and waste resources, others say that fewer farmers are asking fo
r help because of better farm management.
Linda Botterill from the University of NSW believes an income based loan scheme
would be simpler and more effective at helping farmers through drought, and be l
ess of a knee-jerk reaction from government.
Suspected illegal fishermen head to Broome for questioning
Six Indonesian fishermen suspected of poaching the sea cucumber trepang, have be
en taken to Broome for questioning by Australian Customs.
The Navy intercepted the fishermen at the weekend on a boat near Scotts Reef, 25
0 kilometres off the north-west coast of Western Australia.
Customs spokesman Peter Costantino claims they were caught with the sea cucumber
on board.
"There was a small quantity of trepang found on board the vessel when the Navy b
oarded it and the fishermen were actively fishing at that time and diving on the
reef," he said.
"The vessel started to be towed into Broome, but unfortunately broke up. The six
fishermen were transported to the HMAS Larrakia and the vessel was destroyed at
sea."
Wild rivers legislation will hamper development: groups
Graziers and Indigenous leaders on the Cape York Peninsula say future developmen
t of the region will be stifled by the Queensland Government's new wild rivers l
egislation.
The draft policy aims to protect 19 of the state's pristine river catchments, by
introducing restrictions on agriculture, aquaculture and grazing.
Head of the Cape York Institute, Noel Pearson, says pastoralists and traditional
landowners need to work together to fight the policy and environmentalists.
"We find ourselves in a position where the Greens no longer respect the fact peo
ple need economic development and the cattle industry in this region, and they'v
e been winning," Mr Pearson said.
Groote Eylandt given Indigenous protection status
Australia's third largest island is being declared an Indigenous Protected Area
(IPA) today.
Stakeholders have gathered to celebrate on Groote Eylandt in Northern Territory
waters of the Gulf of Carpentaria.
Under the agreement, the traditional owners of Groote Eylandt who speak Anindily
akwa will manage their land for conservation and heritage values.
Land Council Chairman Tony Wurramarrba says a local manganese mine is part of th
e plan.
"Virtually means that we can look after our land, more efficiently. We are in a
very unique situation here on an island," he said.
"We don't have any feral animals that they do have on the mainland. One of the m
ain changes that we see (is that ) we (will) have more control over our land.
McGuigan Simeon may extend fruit contract suspension
McGuigan Simeon Wines says contracts with grape growers in the Murray Valley and
Riverland are likely to remain suspended until after next harvest.
Supply agreements involving 160 growers were placed on hold in December last yea
r, due to a national oversupply.

A large amount of fruit was left to rot in vineyards or sold below the cost of p
roduction.
Mike Stone from Murray Valley Winegrowers says growers are devastated by the dec
ision to extend the suspension and now have to consider how to manage their vine
yards.
"Growers have been given plenty of notice unlike in 2005 when they were told in
December two months before the 06 harvest that their fruit was to be suspended,"
he said.
Winemakers group downgrades vintage estimates
The Winemakers Federation has downgraded this season's vintage estimates by 79,0
00 tonnes.
Australia's total tonnage has fallen to 1.486 million tonnes, slightly down on l
ast year.
Chief executive Stephen Strachan says early figures released last month did not
take into account the amount of fruit that would not be harvested.
"The vintage came in at about 4 per cent down on last year's record level," he s
aid.
"You'd probably recall that we've had two record season's in a row, given that t
here's been quite a significant surplus in place in the industry I think everyon
e was hopeful we'd have a vintage that was a bit lower this year and it has been
.
That said though there's been a lot of fruit left on the vine or worked into the
ground and had that all been processed we probably would have had another recor
d this year."
Meanwhile the national wine grape grower body will put forward plans for a $60 m
illion revival package at an industry summit in Melbourne on Friday.
Mark Mckenzie from Wine Grape Growers Australia says the proposal would take at
least 600,000 tonnes of grapes out of production over the next two years, to eas
e the industry oversupply.
Mr McKenzie says the money could be generated by levies, and used to pay growers
to put their vineyards into hibernation.
"Effectively it's 15,000 hectares at $2,000 so we're talking about $30 million a
year each year for two years - a $60 million package," he said.
Barraba residents cautiously welcome mining company plans
Residents at Barraba, in the north-west of New South Wales, have cautiously welc
omed a mining company's plans to extract minerals from the old Woodsreef asbesto
s mine.
The Sydney-based International Minerals Corporation has been granted an explorat
ion licence worth hundreds of millions of dollars, which could involve a new mag
nesium metal and silica production plant at the mine.
The site near the town was abandoned in 1983.
Former mayor Shirley Close hopes the deal will go ahead, bringing up to 100 new
jobs to the region.
Disease outbreak hits abalone industry
The abalone industry in south-west Victoria says it will take at least 12 months
to recover from an outbreak of the herpes-like virus, ganglioneuritis.
Four abalone farms have been hit by the disease.
Tim Rudge from Allestree Coastal Seafarms at Portland says it appears the outbre
ak came from wild breeding stock, and is a severe setback.
"So we've had to lay people off and the other unfortunate thing is that in the s
outh-west here we have developed a fantastic relationship here with the two loca
l processors," he said.
Dairy operator seeks investor funds
The developers of a large, new dairy venture in South Australia are trying to at
tract cash from the managed investment sector.
Believed to be the first scheme of its kind in the state, the $15 million projec

t at Tintinara, south of Adelaide, follows investor interest in vineyards, olive

and blue gum plantations.
Developer Peter Ryan says high demand from milk processors and steady returns to
farmers are making the dairy industry more attractive to investors.
"International indicators are good, here in Australia projections for demand con
tinue to exceed projections for supply," he said.
Forecaster offers winter rain hope
With a lot of seed in the ground and many grain growers looking for vital follow
-up rains, long-range weather forecasters are offering some hope this winter.
While the Bureau of Meteorology is predicting a drier than average season, other
s are tipping better conditions, particularly for the southern states.
Queensland-based Hayden Walker, who predicts the weather up to 18 months in adva
nce, reckons this winter will be wetter than last year, although patchy.
'It's going to be a sort of topsy-turvy, or spasmodic, winter. Queensland will h
ave light rains during June, with moderate falls in July, [and] probably get som
e reasonable falls on a finishing note in August," he said
"NSW will be looking at light to moderate rains in June and some moderate to rea
sonably good falls for the balance of winter.
SA growers to plant record crop
South Australian grain growers are set to plant a record area of crop after a go
od start to the season.
Authorities estimate plantings of around 3.83 million hectares, with 70 per cent
already in the ground.
Primary Industries SA consultant Peter Fulwood says, with good conditions and yi
elds, the crop could be worth up to $1.1 billion.
"We've had that earlier start, which has certainly encouraged farmers, and the p
rice of wheat has certainly increased," he said.
"I think principally it's probably been the early start that has encouraged farm
ers to get in and put in an extra paddock here and there.
VFF backs change to single desk
The Victorian Farmers Federation (VFF) has joined the growing number of organisa
tions calling for change to the single desk for wheat exports.
Under the VFF's plan, AWB would be forced to split to make the single desk more
accountable.
AWB International would retain its monopoly on exporting wheat from the national
pool, but the domestic arm, AWB Limited, would lose any commercial influence ov
er exports.
Grains Group president Ian Hastings is looking for support from the peak Grains
Council of Australia.
"The sort of things that are in our discussion paper, in our model, are the sort
s of things that are absolutely dear to all growers around Australia," he said.
Qld leasehold agreement sealed
The Queensland Government and lobby group Agforce have after four years finally
reached a new agreement for leasehold land, which is expected to provide more ce
rtainty for graziers.
Some conservation groups have argued that the maximum time for a lease should be
10 years.
Brett De Hayr from Agforce says the Government has agreed to 30, 40 and 50 year
tenures.
"The frame work is basically 30 years for leases deemed to be in poor condition,
40 years for leases in good condition and the component that we think is actual
ly most attractive in this is the ability for 50 year leases to be granted where
people go over and above their duty of care," he said.
Fleece samples could face phase-out
Displaying fleece samples at wool auctions could be a thing of the past under mo

ves to change the way the raw fibre is sold.

The Australian Wool Testing Authority is developing an objective measurement sel
ling system, which will provide more detailed descriptions of wool instead.
The authority's Ian Ashburn says the trial is being driven by wool brokers, but
there is some buyer support as well.
"The main feedback has been quite positive from the brokers. Like I said, we hav
e been approached, because of our independence to undertake these activities, fr
om brokers and some buyers in the past six to 12 months," he said.
Joint NT, WA pearling regulation agreed
The pearling industry will be regulated as one entity under a memorandum of unde
rstanding signed between the Northern Territory and Western Australia.
Most companies operate across both jurisdictions, stretching from the Territory'
s English Company Islands near Gove, to Exmouth in the Pilbara.
Captain Christopher Cleveland of Arafura Pearls says the agreement provides a pl
atform to streamline regulations.
"There are some companies like ourselves, which don't have any involvement in We
stern Australia," he said.
Qld budget spends big on services
Health, education and infrastructure dominate the Queensland Budget.
The Treasurer says it is the biggest and highest ever level of spending for thos
e key areas.
For the farm sector, the focus is on the 'Blueprint for the Bush', a 10-year pro
gram for the regions west of the Great Divide.
This year sees $150 million allocated for the plan.
The Primary Industry Minister says his department's budget has been boosted by $
11 million and he will be employing an extra 100 officers by Christmas.
The Opposition disputes that that is the case and says there has in fact been a
cut to the department of $28 million.
NSW Budget rural transport funding disappoints
Farmers in New South Wales say they are disappointed with a lack of money for ru
ral rail and roads in the state Budget.
Posting a deficit of almost $700 million, the Government has increased spending
for primary industries, natural resources and rural infrastructure.
Jock Laurie from the New South Wales Farmers Association says it was a wasted op
portunity.
Mango growers warn of labour shortage
Mango growers in the Northern Territory are warning of another labour shortage t
his harvest.
Growers have told a Senate inquiry this week that guest workers from the Pacific
islands should be allowed into Australia to help fill shortfalls.
Darwin grower Peter Delis says the inquiry told them no evidence of a labour sho
rtage has been presented so far.
"The industry is a bit perplexed by this because there has been plenty of people
that have made representation since 1996, where there is acknowledgment that th
ere is a labour shortage issue in horticulture," he said.
"So the simple issue is absolutely, it's just where we can source the people.
"Last year was one of the lightest years on record, even with the increased numb
er in trees.
Senate inquiry may consider Timor labour
East Timor could join the list of potential Pacific nations to provide workers t
o Australia.
Tasmanian Senator Guy Barnett says if the need for labour is demonstrated, the i
nquiry will be broadened to include countries to Australia's north.
"The terms of reference includes the Pacific and the Pacific islands, and clearl
y having been in the Northern Territory there is obviously the view, that has be

en put to us, is that there should be consideration given to Timor and further n
orth into Asia," he said.
Educate young to become good growers, wine judge urges
Turbulent times in the grape growing sector are not deterring younger people fro
m planning a future in the wine industry.
There has been a National Wine Schools Show in Adelaide this week, where student
s from around the country have showcased more than 70 wines and voiced confidenc
e in the future of the sector.
Wine critic and head judge Philip White says it is important to educate young pe
ople on the current problems so they can deal with similar scenarios when they t
ake over the family vineyard in years to come.
"These kids live, if they're in wine regions, live in the face of the glut. They
can see their grapes, their dad's grapes, hanging on the fence, they're not get
ting sold," he said.
"This is an essential thing for them to understand the other end of the cycle.
Hopes Landcare deal will revive movement
The first Landcare sister partnership has been established, as the movement look
s at ways to reinvent itself.
The Tasmanian-based Tamar NRM and Victoria's Woady Yaloak Catchment Group will s
hare their knowledge, and members hope the link will give them more independence
and clout on the national stage.
Chairman of the Victorian group, Michael Rowe, believes other groups will be wat
ching the experiment.
"I hope so and I hope some of them will follow suit because Landcare seems to be
stagnating in some areas a little bit," he said.
Big harvest, good prices cheer cane growers
New South Wales sugarcane growers have begun one of the biggest harvests the sta
te has ever seen.
After a tough few years, growers and millers are reporting high yields, high sug
ar content and strong world prices.
Rick Beattie, from the New South Wales Sugar Milling Co-op, says the state's thr
ee mills expect to crush 2.6 million tonnes of cane.
"Early indications from the Broadwater season are good yields and really good su
gar, which is fantastic," he said.
Fuel prices more urgent than nuclear power, say farmers
The National Farmers Federation says the Federal Government needs to urgently ta
ckle high fuel prices, ahead of developing nuclear power.
It is supporting another government inquiry into alternative fuels, which will l
ook at whether a commercial biofuel industry is viable.
NFF president Peter Corish says many farm petrol and diesel bills have risen 70
per cent since 2004, and urgent action is needed to promote alternative fuels.
"There are real opportunities for a number of our agricultural industries and ce
rtainly our view is that both need to be focussed on but probably the opportunit
ies that exist from biofuels are more immediate than will come from the nuclear
debate," he said.
Meanwhile, ethanol production has been flagged as a potential new industry for A
ustralia's biggest irrigation scheme.
Consultants from Perth and Brazil are looking at the viability of growing sugar
cane in the second stage of the Ord River Irrigation Scheme, in Western Australi
a's far north.
Call for more climate research to maintain wheat production
There is a warning today that wheat production could fall by 15 per cent and cos
t the nation $1 billion over the next 30 years unless the grains industry steps
up research into managing climate change.
A study of five major grain growing areas show a drop in production of between 5

per cent and 25 per cent, with shorter growing periods and higher threats from
diseases and pests as the country gets warmer and drier.
Professor Peter Grace from the Institute of Sustainable Resources in Queensland,
says farmers may need to look to new wheat varieties and better use natural res
ources like water.
"Drought resistance is probably the number one area we need to get into in Austr
alia," he said.
"We have a long history of scientists who have done a lot of work in traditional
plant breeding in drought resistance and have been very successful, so we're we
ll positioned to meet what's going to happen in the next 30 to 50 years.
"Global warming is here, that is a proven fact. Farmers play a role in that as w
ell by moving towards conservation tillage practices, so farmers are in the driv
er's seat."
Meanwhile, Western Australia's grain handler and marketer the CBH Group is upbea
t about the winter growing season, even though many areas desperately need rain.
CBH has released its first crop yield estimate for the year, with a ballpark fig
ure of 11.6 million tonnes.
Operations manager David Fienberg says CBH's predictions are largely on good sum
mer sub-soil moisture reserves across broadacre regions.
"What we do is, we try and collect as much on-ground intelligence in terms of be
ing really well set-up for those from the summer rains," he said.
"And there is fantastic sub-soil moisture there in the majority of the state.
Tough season ahead for WA sheep producers
Western Australian sheep producers are being urged to buckle up for a tough seas
on.
There is no green feed in the southern half of the state, apart from extreme low
er west and south coastal areas, and no rain in sight.
Livestock numbers at saleyards are rising as farmers destock bare paddocks.
Sheep management consultant Andrew Ritchie says graziers need to move soon.
"We have to take it on board mentally first that it is now a poor season and has
been a poor season for at least two weeks," he said.
Big turnout tipped fo Farmfest
Despite poor seasonal conditions, consumer confidence is strong at one of Queens
land's biggest agricultural field days.
Organisers of the three-day Farmfest near Toowoomba say they are on target for a
bout 80,000 visitors, even though the region has had less than 20 millimetres of
rain since the start of the year.
Barry Harley says producers are still opening their wallets.
"And although I don't believe there's still too many people rushing in and buyin
g a $200,000 tractor on the site, the orders are very genuine and there is a tag
on it when it rains, but some of the smaller items like quad bikes and silos an
d bits and pieces - huge sales have actually been recorded," he said.
US beef trade with S Korea on hold
US plans to resume its beef trade with South Korea are on hold over new concerns
about American abattoirs.
Exports were to begin this week, but officials are concerned beef destined for S
outh Korea will be processed in the same plants as beef from foreign animals, or
cattle over 30 months of age.
Andrew Negline from Cargill Beef Australia says the delay will just create more
uncertainty in the market.
"We know the US is coming back in, from Australia's point of view we need to see
that re-entry rather than later to take the uncertainty out of the market," he
said.
"Their buying habits have gone on hold if you like and you can imagine there's a
lot of traffic between Korea and the US in anticipation of the market opening u
p from the US.
"There have also been a lot of offers out of the US well below the Australian ma

rket price."
Food origin labelling standards come into effect
From today it is compulsory for retailers to identify the country of origin of
resh food.
Fresh fruit, vegetables, nuts and seafood will have to be clearly labelled.
Mike Redmond from the Virginia Horticulture Centre in South Australia says the
ndustry will now push for labelling of frozen, packaged and processed food.
"Look it's about giving the consumer the right to choose whether they're going
o buy an Australian product and all the good things that go with that like all
ur food safety standards which are some of the most rigorous in the world, and
hey get to choose," Mr Redmond said.

f
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Wood exporter dumps bid for global softwood market

After two years of planning, Australia's oldest woodchip exporter has abandoned
its bid to enter the global softwood market.
A glut of softwoods is looming after an infestation of the North American timber
beetle in Canada.
Vince Phillips from South East Fibre Exports at Eden, in New South Wales, says w
orld prices have been forced 20 per cent below Australian production costs.
McGuigan vineyard plans concern SA grape growers
Grape growers in South Australia's Riverland are concerned about plans by McGuig
an Simeon Wines to develop a 400-hectare vineyard.
The company wants vines at Wentworth, in south-western New South Wales to be in
full production by 2009-2010.
The news comes just days after 160 growers were told their contracts with the wi
nery will remain suspended for next harvest.
Chris Byrne from the Riverland Wine Grape Growers Association says the type of d
evelopment is detrimental to the whole industry.
"We have made the point that unless the industry with their help gets right behi
nd the sort of strategic planning that we are encouraging and does something as
an industry about rationalising, restructuring and supporting the growers that h
ave built the industry, then that whole proposal is really counter productive to
our interests," he said.
There was a 10 per cent jump in the amount of wine exported from Australia in th
e 12 months to the end of May, to a record 726 million litres.
The Wine and Brandy Corporation says the value of exports grew slightly to almos
t $2.8 billion, despite prices dropping 34 cents per litre.
E Timor looters destroy rice, maize reserves
Looters in the East Timor capital of Dili have destroyed more than 40 tonnes of
rice and maize seed reserves.
The seed normally supports thousands of subsistence farmers across five district
s.
The government has warned people not to eat the seed because it has been treated
for pests and diseases and to encourage rapid early growth.
East Timorese Minister for Agriculture, Estanislau Da Silva, says more will urge
ntly be needed for next year's crop.
"Several thousand - at least up to five to six districts - especially subsistenc
e farmers they will suffer if we don't have those seeds readily available (by) I
would say no later than September because then we will use October to distribut
e it," the Minister said.
Thieves target banana plantations
Soaring banana prices are making the fruit attractive to thieves at plantations
near Coffs Harbour, in New South Wales.
Three thefts have been reported so far, with a shortage of fruit due to damage c
aused by cyclone Larry in north Queensland.
Tony Heidrich from the Banana Growers Council says it is likely to be more than

a one-man operation, given the size of the stolen bunches of bananas.

"It's possibly an under-reported crime. I think there's a perception out there i
n the community that it's a soft crime with the perception that nobody's getting
hurt as a result of a crime," he said.
Cooler change disrupts cows' milk production
A cold snap across south-eastern Australia is even affecting the cows at Hamilto
n, in Tasmania's Derwent Valley.
With temperatures plunging to minus three degrees celsius, and even minus 5.8 de
grees celsius overnight on Tuesday, the dairy cows on Dave Jones' farm have drop
ped a litre-and-a-half of milk a day.
He says frozen machinery is causing long delays in milking, disrupting the cows'
regular milking and pasture routines.
"For the last three or four mornings we've tarped the whole dairy in and we've g
ot a little bit of a heater in there which warms it up by about a degree, but fo
r the last three mornings we've spent the first two to three hours defrosting th
e machines and getting all the electronics working," Mr Jones said.
AWB seeks Federal Court ruling on documents
Wheat exporter AWB has returned to the Federal Court today, asking it to decide
which documents before the oil-for-food inquiry are protected by legal professio
nal privilege.
Last month the Federal Court ruled AWB's apology document was not covered and co
uld be made public.
The court also ruled that Commissioner Terence Cole had the power to decide whet
her other documents before the inquiry, including AWB's own internal investigati
on of the oil-for-food program, were protected.
Tassie growers want higher forward grain prices
Tasmanian grain growers are unhappy with forward contracts for feed grain for th
e coming harvest.
Crosby Lyne from the Tasmanian Farmers and Graziers Association says average whe
at and barley feed grain prices at $190 to $195 a tonne are not on parity with m
ainland prices, even allowing for freight.
He says the island's forward grain prices should be higher, given lower world pr
oduction and dry conditions putting pressure on yields.
"We believe Tasmanian grain growers aren't being offered enough for their grain
for the coming harvest," he said.
Wine industry to solve its own oversupply problem
The wine industry says it will not ask the Federal Government for a financial ba
il out and will try to solve the grape glut itself.
Industry bodies, leading wine companies and federal and state governments are me
eting in Melbourne today to try to find a way through the oversupply problems em
battling the industry.
Stephen Strachan from the Winemakers Federation of Australia believes the sector
can fix its own mess.
"I don't think there'll be any silver bullets and I don't think we'll come out t
his afternoon saying we've got a solution to get through this surplus next year,
it's just not going to happen," he said.
Summit debates rural health plan
A plan to train rural doctors as specialists is being debated at a health summit
in the southern Queensland town of Chinchilla today.
The Rural Doctors Association's president, Dr Ross Maxwell, says there is still
a massive shortage of doctors and an insufficient intake of students to meet dem
and.
He is supporting a plan to train doctors to be specialists in rural areas and ha
ve general knowledge of obstetrics, anaesthetics, Indigenous health and surgery.

Aust urged to take more responsibility for uranium waste

Australia has been told it needs to take more responsibility for the waste produ
ced from exporting uranium.
About 40 per cent of the world's uranium stocks can be found in Australia and it
is shipped to the US, Japan and Europe for use in nuclear power.
A founder of Greenpeace but now one of the world's main supporters of the nuclea
r industry, Dr Patrick Moore, says Australia should consider using nuclear power
.
But he says the nation must take more responsibility for dealing with nuclear wa
ste.
"I think you wave it goodbye at the dock and wash your hands of any responsibili
ty for what goes on in the world," he said.
Water sales should be treated as capital gain, say Nationals
Farmers and irrigators could be taxed at a lower rate for any water they sell un
der the National Water Initiative after lobbying from the National party.
Former Nationals leader John Anderson met with the Prime Minister yesterday, arg
uing water sold to the scheme should be treated as a capital gain rather than in
come, attracting a lower tax rate.
Mr Anderson says taxing the water at premium rates is unfair.
"This is about farmers feeling that the Government is going to keep good faith w
ith them," he said.
Eastern states begin to offload stock
We heard yesterday about WA graziers offloading stock with the dry conditions,
and the trend is also starting to appear in western New South Wales and the Vict
orian Mallee.
About 8,000 ewes and wethers were offered at a special sheep sale at Swan Hill y
esterday.
Livestock agent Cameron Mckay says many farmers in the region are supplementary
feeding their stock and desperately need rain.
"Western New South Wales probably had a better start than the Mallee but now wit
h continuing dry conditions the feed that has germinated is drying up and the fr
osty conditions it's also not helping growing conditions at all," he said.
There was a very slight recovery in wool prices this week, with the benchmark ea
stern market indicator up one cent to 728 cents a kilogram clean.
Scientists to test new bait chemical
Experts say a new chemical to be tested next week has the potential to change th
e way some of Australia's pest animals are controlled.
The Invasive Animal Cooperative Research Centre says the poison, PAP, was origin
ally designed by the US military, and can be used on wild dogs, feral pigs and f
oxes.
Research scientist Dr Ricky Spencer says the trials will test the antidote compo
nent of the chemical, which is something the current poison known as 1080, does
not have.
No quick answer to cane toads, say scientists
Scientists have been meeting in Brisbane this week to work out how to beat the c
ane toad problem.
More than 40 researchers have shared their work at the national cane toad worksh
op, and heard evidence of how the toxic toad is adapting to its environment.
Ideas thrown up include bio-control methods and repelling devices, and Dr Tony R
obinson from the CSIRO says while there is some inspiring work being done, there
's still no magic answer.
"We're talking five to seven years, I mean that's the sort of range for any of t
hose projects, we can't offer any immediate solution to the cane toad problem, w
hich is frustrating," he said.
Quick growing kingfish trial under way in SA

Under a project in South Australia, captive kingfish will be tricked into doubli
ng their growth rate, by having an extra long summer.
Port Lincoln-based company Clean Seas will work with a Danish company to try to
halve the time it takes to grow a kingfish to restaurant size.
Instead of being kept in sea cages, Marcus Stehr from Clean Seas says the fish w
ill live in onshore tanks at Arno Bay.
Woolly cattle open small opportunity for hobby farmers
Two cattle producers in New South Wales are trying to downsize their cattle to p
roduce a miniature breed which can also be shorn like a sheep.
Brendan and Yolana Haverfield breed Galloway cows on their hobby farm near Sutto
n in the southern highlands.
The cows are between 100 and 120 centimetres high, and apart from being extremel
y docile, the couple say their hair is like cashmere wool.
"It's a Scottish breed, from the Galloway area of Scotland, good for beef, they
can be milked, also their hair can be spun like wool.
Farmers fire up for Finke fun
Pastoralists south of Alice Springs have a chance to forget about the lack of ra
in this weekend at the biggest event on their social calendar.
The 31st Finke Desert Race involves hundreds of off road vehicles and motorbikes
, tackling a track which starts just south of the Alice, and ends up in the smal
l outback community.
Billy Hayes from Deep Well Station says everyone looks forward to the race as a
chance to catch up with family and friends.
"You know there's not too many pastoralists that I know south of Alice that don'
t take the weekend off to come and watch the Finke Desert Race or, you know, a l
ot of them have got family or family members competing in it as well," he said.
Loss of GPS signal causes problems for grain growers
Farmers are experiencing major problems with their global positioning systems (G
PS) because two US military satellites have been taken out of service.
Many grain growers use GPS technology to help them sow crops in the most efficie
nt way, pinpointing crop rows to within centimetres.
But the loss of signal is now causing major accuracy problems and drop-outs, par
ticularly in the middle of the afternoon.
Phil Harris from GPS-Ag in South Australia does not know when the problem will b
e fixed.
"It's unfortunate at the time that it is happening and of course there's still a
lot of farmers out there seeding ... now there are a lot of farmers have commen
ced on their spray program," he said.
Childers farm tested for cane smut
There are fears that an exotic disease discovered on a sugarcane farm in south-e
ast Queensland could be the devastating cane smut.
Queensland's Department of Primary Industries has quarantined a property near Ch
ilders after suspect plants were discovered late last week.
Cane smut, which can stunt growth and cause production losses of between 20 and
30 per cent, is considered the highest exotic disease risk for sugarcane in Aust
ralia.
While the Canegrowers Organisation says the disease has not been confirmed, gene
ral manager Ian Ballantyne says the industry is prepared.
"Canegrowers are members of a thing called Plant Health Australia and through Pl
ant Health Australia we bring together BSES, state and federal governments, ours
elves, and other parties who are interested and have an affect on disease incurs
ion," he said.
"We've learnt a lot I think over the years from citrus canker and things like th
e popia fruit fly and now we think it's better to overreact early than under-rea
ct."

Rain hits NSW cropping areas

Cropping areas in New South Wales have received their first major rainfall for t
he season.
Conditions took a turn for the better on the same day last year and while the ra
in was not as heavy this time, it was just as welcome.
Cereal cropping producers across inland New South Wales were facing another blea
k season, with no rainfall during autumn across the majority of the state.
This changed on Saturday. Most inland areas received between 10 and 30 millimetr
es, with the majority of the cropping belt receiving around the old inch mark.
Many tractors have started up this morning, to get the winter crop in.
Subsoil moisture levels are still very low to non-existent and so crops will aga
in be reliant on in crop rainfall.
Michael Matthews from Young says the rain does bring hope.
US lowers wheat production forecast
The US Department of Agriculture (USDA) has again lowered its 2006 and 2007 whea
t production forecast, at the same time as grain prices soar.
Production estimates now total just over 1.8 billion bushels, or more than 48 mi
llion tonnes.
Last month's US wheat forecast was down 11 per cent from the previous marketing
year.
Now, USDA World Agriculture Outlook Board chairman Gerald Bange says continued d
ry conditions have cut the 06/07 forecast by 14 per cent, and stocks by nearly 2
5 per cent.
"And as a result of that, we are in fact, seeing a stronger price," he said.
"The price outlook now calls for about $3.90 at the midpoint which is up nearly
50 cents from the 2005-06 years and would, in fact, be the highest price since t
he $4.30 that was recorded in 1996, contributing to lower US wheat exports, fore
cast off about 100 million bushels, at about 900 million bushels.
The USDA report caught commodity traders in Australia offguard.
Tony Smith from Plum Grove says no one was expecting such significant changes.
"Well, in the first two minutes, the market reacted as expected," he said.
"The futures exchanges opened up, the markets went straight up and then within t
wo minutes everyone, including myself, was caught by surprise because they just
fell in a heap.
No bail-out package for grape growers
Federal Agriculture Minister Peter McGauran has refused to bail out the nation's
struggling grape growers, saying the Government is not to blame for the current
oversupply.
Ahead of a national wine summit held in Melbourne on Friday, industry groups wer
e looking for partial compensation from the Government to help growers mothball
or hibernate their vines.
But Mark McKenzie from Winegrape Growers Australia says the proposals were not e
ven put on the table, and it is a disappointing result.
"The Minister made it clear that it's an industry issue the industry needs to so
rt itself out," he said.
"Outside the framework of what's currently available there wasn't anything speci
al put on the table other than additional funding to scope the nature of the iss
ue to provide more information to growers to allow them to make those commercial
decisions for themselves going forward."
In the west, many grape contracts are coming to an end, and John Griffiths from
the WA Wine Industry Association says the situation is fragile.
While warm climate growing areas have already been hit hard, with fruit left on
the vine, the oversupply problem is expected to hit cooler areas over the next t
wo years.
Mr Griffiths says the real crunch for WA is yet to come.
"Even if the news itself isn't great it's better that it's clear.
"You're either industry and your going to make some profits or your probably oug
ht to get out. "

Telcos urged to express interest for bush broadband

The Federal Government has called for expressions of interest from telecommunica
tions companies who can provide broadband Internet services to regional areas.
The $1.1 billion Connect Australia package aims to improve services outside the
capital cities.
Industry analyst Paul Budde says telcos should not be competing for business, bu
t allocated a region to ensure wider coverage.
"People in regional Australia should not have to pay more for that sort of servi
ce than people in metropolitan areas, this is infrastructure this is not luxury,
everybody needs it, and therefore it has to be treated as such," he said.
Rural Australians honoured for Queen's Birthday
Rural Australians have been well represented in the Queen's Birthday Honours lis
t.
A well-known grazier from north-west Queensland says he is surprised at being na
med a Member of the Order of Australia.
Former National Party president Don Mcdonald from "Devoncourt Station" near Clon
curry has been recognised for his services to regional health, agriculture, infr
astructure and politics.
"I'm delighted to have received it, I'm just in total disbelief that this sort o
f thing would happen because I don't see myself as having done anything more tha
n so many other people who live in the bush do, you know, to help their communit
ies," he said.
Fellow former Nationals president, Helen Dickie has also been named a Member of
the Order of Australia.
Being awarded a Medal in the Order of Australia has not silenced Victorian dairy
farmer Ann Jarvis in her criticism of the Federal Government's user-pays higher
education policy.
Mrs Jarvis was awarded for her service to education, the dairying industry, wome
n in agriculture and the community of the Kiewa Valley.
She says the Federal Government has a moral obligation to put more money into te
rtiary education.
"I think that we've forced our rural children away from universities in the last
10 years," she said.
"The cost to attend university is enormous. I dont' believe that brains necessar
ily only belong to city people. I think there is a great deal of intellectual br
ain drain from country areas because people can't afford to avail themselves of
tertiary level education."
Broken Hill Identity, "Brushman of the Bush" and well known former ABC TV outbac
k adventurer Jack Absalom received an Order of Australia for services to paintin
g and charitable works.
Winemakers are also feature prominently, with honours going to South Australia's
Brian Barry and the Hunter Valley's Bruce Tyrrell, who believes the industry wi
ll turn around.
"Oh yeah it's amazing you know, you go from being the darling to the devil," he
said.
"The Australian wine industry is copping a heap of bad press at the moment, but
behind that is still this phenomenol growth.
Desert race comes to an end
Australia's most challenging off-road race is coming to an end at Alice Springs.
Hundreds of competitors in the Finke Desert Race have pitched their buggies, car
s and motorbikes at 450 kilometres of some of the toughest terrain in the countr
y.
It is windy, freezing cold and extremely dusty at the 31st Finke Desert Race.
Only a third of competitors usually complete the track, which is full of bulldus
t, desert oak trees to dodge and about 70 kilometres of woops which is like driv
ing over thousands of volkswagons in a row.
Already the winners in the buggies have made it home, first place went to father

/son team Shannon and Ian Wrench from Warrnambool, Victoria.

Ploughmen dig in at championships
Twenty of Australia's best ploughmen battled for first place at the weekend's Na
tional Ploughing Championships in Tasmania.
Pitting their technical precision against the clock, farmers also had to work in
dense fog while competing at Cressy, in the state's north.
Two Victorians were the winners, Adrian Tilling for conventional ploughing, and
David Smith for reversible ploughing, and both will represent Australia at the w
orld titles next year.
Rhonda Smith from the World Plough Organisation says success all depends on the
day.
"Ploughmen can plough good on one day and draw a good plot and then some ploughm
en can plough under pressure," she said.
Cane smut found on Qld property
Authorities have confirmed the discovery of the exotic disease sugar cane smut a
t a farm near Childers, in south-east Queensland.
At the start of another cane crush, it is a massive blow to the sector, which ha
s been enjoying good prices.
The infected property has been quarantined and wider surveillance is underway.
Property owner Joe Russo, who is also the chairman of the Isis District Canegrow
ers, says it has been a horrible time.
"Not only myself, but the whole family, are quite devastated to hear the news,"
he said.
"There's no doubt we've all understood the disasterous effects smut can bring, b
ut to have it recorded not only in your district, then to have it on your own pr
operty, is of a concern."
The entire cane crop on the east coast will be inspected for the disease.
Queensland has been one of only a few commercial growing regions in the world wi
thout cane smut, which can cause major production losses.
Eoin Wallis from research group BSES Limited says the situation is extremely ser
ious, even though only one infected plant has been found.
"At the moment, because we haven't found anymore plants, we are not able to say
whether this is a widespread infestation or simply quite local," he said.
Water shortage threatens lettuce supplies
Production of Australian lettuces could drop by up to 60 per cent by Septelettuc
e shortagember because of a lack of water in storages outside Melbourne.
Southern Rural Water has cut water allocations to the Bacchus Marsh and Werribee
irrigation districts to between zero and 5 per cent, leaving growers without wa
ter, or using recycled waste water.
One of Victoria's biggest coloured lettuce growers, Frank Ruffo, says the both d
omestic and export supplies will be hit.
"We use all our water for growing lettuce, salads," he said.
We supply on a national basis around Australia and we also supply overseas so th
at is going to ruin our export markets, especially when we've managed to take th
em off the American suppliers.
Results on mad cow disease research may take years
Scientists say it could take years to work out whether there is a new strain of
mad cow disease or whether the original virus has mutated.
US researchers have confirmed that two cases of BSE in Texas and Alabama during
the past year are a new variety of the disease, which is similar to others in Eu
rope and Japan.
Professor Colin Masters from Melbourne University says it is frustrating for agr
icultural industries which have to wait for the research before finding out whet
her they can stop any further spread of the disease.
"So far they're very rare and they've only been found because of this massively
increased surveillance," he said.

Wheat growers call for continued government assistance

With a new farm bill on the horizon in the United States, wheat growers there ha
ve joined calls for continued government assistance.
The wheat industry is concerned it has a shaky future, after figures showed whea
t's portion of the national crop has fallen 10 per cent since the 1980s.
Grower organisations say the wheat industry is at a crossroads with little growt
h in exports, lower domestic consumption and loss of acres to other crops.
As well, there are concerns that wheat diseases are affecting farmers' profits a
nd there is little research being done on new wheat varieties.
But while the the industry is keen to encourage new research, it has emphasised
it must make economic sense for farmers to want to plant wheat in the first plac
e.
According to the US department of agriculture, the wheat sector is facing long t
erm challenges to its profitability, but asking for increased subsidies from gov
ernment is not the answer.
The USDA says subsidies only artificially increase demand, rather than provide l
ong term solutions.
The industry plans to hold a wheat summit later this year to try to work out how
it can stay profitable and competitive in the international market.
The Indian Government has called for tenders to supply 2.2 million tonnes of whe
at, after a lack of interest in a 3 million tonne deal last month.
Only 800,000 tonnes was allocated from the original wheat tender, with two third
s expected to be filled by AWB.
Livestock producers warned over feeding requirements
The Western Australian Department of Agriculture is warning livestock producers
to either reduce sheep numbers or pay closer attention to feeding requirements.
There is a severe lack of feed due to dry weather and stock deaths have been rep
orted because sheep are not getting enough roughage.
Veterinary officer Marnie Thomas says producers are feeding their sheep lupins a
s an alternative feed source but they need greater diversity to maintain conditi
on.
"If you've got stock that you can quit, I would definitely be quitting them now
because if this dry keeps going, you're going to be looking at supplementary fee
ding for anywhere up to six weeks from the break of the season, right up to eigh
t weeks, depending on what sort of pasture you've got," she said.
Study looks at heat stress concerns for helmet wearers
Meat and Livestock Australia (MLA) is studying how heat stress might affect stat
ion workers forced to wear helmets while riding horses.
Graziers across northern Australia have raised concerns that compulsory helmet w
earing for employees could increase body temperature and lead to heat stress and
fatigue.
With some stations forcing the introduction of helmets as a safety measure, MLA'
s Wayne Hall hopes the research will lead to better helmet designs.
Cool dry season could mean early Top End mangoes
Cooler than average weather this dry season in the Northern Territory could brin
g forward the mango harvest.
Night time temperatures across the Darwin rural area have been more than three d
egrees cooler than average this month.
Flowering is under way across mango orchards of the Top End and extension office
r Greg Owens says fruit could mature by mid September.
"The trees were pretty much set up for it from a very small harvest season last
year," he said.
"They had good reserves from the tree and having that cold snap follow on from t
hat rain seems to have triggered a lot of trees that were ready to go off.
Farmers call for more help to for biodiesel production

Farmers trying to establish commercially viable biodiesel operations say the Fed
eral Government needs to do more to encourage development.
Victorian farmer Josh Pearse, who has set up a plant at Donald, in the state's w
est, says taxing biodiesel at the same level as ordinary diesel is a disincentiv
e to farmers making or using it.
He says in the face of rising fuel costs, grain farmers particularly, have a gre
at opportunity to start growing some of the fuel they need for their farms.
"There should be a few more incentives for people to actually get into the biodi
esel industry, and even for some sort of tax benefit for farmers and for people
to start using biodiesel," he said.
Demand soars for softwood
Australian softwood producers say they are experiencing their highest levels of
demand for years, with more shipments of pine woodchips and steadily rising pric
es.
Growing demand from the Japanese paper industry is driving the export market gro
wth, as the Japanese economy picks up and the consumption of paper and paper pro
ducts increases.
Phil Lloyd, from South Australian processor Auspine, says the last 12 months hav
e seen demand exceeding supply.
WA finds nifty solution to cane toad menace
A specially trained sniffer dog has been chosen to hunt down cane toads at the b
order between Western Australia and the Northern Territory.
Nifty, a two-year old female belgian malinois, will begin training immediately a
nd start work in Kununurra from September.
Gaye Mckay from WA's Department of Conservation and Land Management says Nifty i
s part of an overall plan to keep cane toads out.
"Anything that can stop cane toads from entering WA is a worthwhile investment,"
she said.
Rural workers at risk of cancer, report shows
A new report has found workers in rural industries like agriculture, forestry an
d mining are most at risk of developing cancer.
The study by the Queensland Cancer Fund and the University of Sydney has found t
wice as many people as previously thought are exposed to cancer-causing substanc
es at work, including pesticides, UV rays and dust.
Gordon Gregory from the National Rural Health Alliance, says country workers fac
e a double whammy, because a lack of medical care in the bush can severely reduc
e the chance of survival.
"Agriculture forestry and fishing are dangerous occupations - but normally we te
nd to think in terms of accidents," he said.
"Now we have got this report which frankly surprises me that it is also the caus
e of high rates of cancers.
Snowy Hydro rethinks development plans
Snowy Hydro says it will be forced to borrow heavily, now that its planned priva
tisation has been scrapped but staff jobs are safe.
The Federal Government scuttled plans to sell the power generator earlier this m
onth.
Managing director Terry Charlton says the sale would have given Snowy Hydro acce
ss to extra funds but the company now must rethink its development plans.
"We're looking at increasing our borrowings, cutting back on capital expenditure
, cutting back on other expenditures, hopefully being able to defer some expendi
ture on the scheme and substitute it with other growth opportunities," he said.
Farmsafe maintains cancer risks minimised
A farm safety group has defended the sector's use and management of pesticides a
fter a new report said people in agriculture were among the most at risk of deve
loping cancer.

The study by the Queensland Cancer Fund and the University of Sydney found twice
as many people as previously thought faced cancer-causing substances at work, i
ncluding pesticides, UV rays and dust.
But Jamie Cupples from Queensland-based Farmsafe says risks have been greatly mi
nimised because primary producers must go through chemical accreditation program
s.
"We haven't had the evidence that there's a huge rate of cancer in the rural ind
ustry being caused by pesticides," he said.
More sugar cane smut cases under investigation
Queensland authorities are investigating possible new cases of the fungal diseas
e sugar cane smut.
The disease, never before found in eastern Australia, has the potential to reduc
e cane yields by up to 30 per cent.
It was confirmed on a farm near Childers yesterday and further cases are now sus
pected in another block on the same property.
Chris Adriaansen, from Queensland's Department of Primary Industries, will not s
ay how many plants are affected, but denies smut is here to stay.
"No, no, absolutely not. It may be that we will find sequentially a number of sm
all infestations over a period of you know it could be 12 months or even possibl
y longer," he said.
Wool campaign targets US market
A test marketing campaign for wool has been launched to try to tap into the bill
ion dollar clothing market in the United States.
Saks of Fifth Avenue and retailer Dillards have been signed to try to educate th
e US consumer about the benefits of wool by marketing woollen trousers.
The Woolmark company says there is a huge market to be gained from the $6 millio
n investment.
But consultant Graham Lean says the push in the US is misguided and the best way
to increase grower returns is to cut costs.
Gold price fall puzzling
Resource analysts are puzzled why the price of gold suffered a meltdown in New Y
ork trade overnight.
The price of gold dropped $US44.50 an ounce, its biggest single day drop since 1
991.
Hartley's resource analyst Andrew Rowell cannot explain the decline in gold and
copper prices.
"We're not actually really sure as to why it's such a big drop. It came off last
night in New York, it started at the start of the day and kept going," he said.
"I guess we're at a bit of a loss to see exactly the reasons why it was so prono
unced."
In other commodity news, Australia's export earnings from mineral resources fell
$1 billion to $21 billion for the March quarter.
Queenslander wins NFF top job
Queenslander David Crombie is the new president of the National Farmers Federati
on (NFF).
Mr Crombie is the former chairman of Meat and Livestock Australia and former cha
irman of the Queensland Reds.
Mr Crombie takes over from outgoing president, cotton grower Peter Corish.
Victorian dairy farmer Allan Burgess was the other candidate for the peak farmin
g group's top job.
The announcement was made in Canberra, where farmers from all over Australia and
representatives of a wide range of agricultural industries are meeting, to draw
up their strategies and priorities for the coming 12 months.
Delegates from around Australia will today be debating the NFF's stand on teleco
mmunications and native vegetation.
The telecommunications debate is timely given the NFF's initial support for the

Telstra plan to maintain a presence in rural Australia.

Cold snap takes toll on prawn operator
The cold weather snap in the far north of Western Australia has taken its toll o
n one aquaculture venture.
Six hundred and sixty thousand prawn fingerlings are feared dead after the spate
of cold weather, including overnight lows of eight degrees.
The marine prawns stop feeding at 20 degrees and die at 13 degrees, and owner Ia
n Crimp says there is not much movement in the tank.
"The water monitor shows the temperature is down to 14.5 at the present time and
it's getting pretty low and will be probably devastating for the prawns," he sa
id.
"These little ones might be in the great prawn house in the sky by now. Prawn he
aven!"
The rising cost of fuel is also threatening the seasonal harvest of banana prawn
s.
Some trawlers caught up to 10 tonnes more when authorities extended the season b
y a fortnight.
But fisherman Ean Casey says the good catches were not enough to cover fuel, com
petition from cheaper imported prawns, and labour shortages.
"It's been was a worse year than previous years even though we caught more," he
said.
"This year we found it very hard to get people. We will probably look at bringin
g in overseas labour (from Indonesia).
Summer fruit industry looks for Govt support
There are calls for Federal Government support for the summer fruit industry fol
lowing signals the Taiwanese export market will not reopen in time for next year
's harvest.
Exports were suspended late last year because of Taiwanese concerns over a Queen
sland fruit fly.
Summerfruit Australia's Wayne Boucher fears if exports to Taiwan resume, an extr
a 10,000 tonnes of stone fruit could flood the domestic market.
"We'd have to say that it is looking highly unlikely that the work that is curre
ntly being done will be completed in time for us to get access to the Taiwanese
market in time for this season," he said.
New concerns over NSW land clearing laws
Landholders across New South Wales are being warned the Native Vegetation Act wi
ll have a far greater impact than was originally thought.
The Act stops broadscale land clearing across the State.
Gabrielle Holmes's family has been prosecuted twice under the Act, without convi
ction, for the removal of native invasive scrub.
Pricey pup fetches new record
What price would you pay for a good working dog?
Well you can expect to dig even deeper after a Victorian bred kelpie fetched $5,
400 over the weekend.
Tasmanian farmer Neil Monks bought the 20-month-old pup sight unseen, and had no
qualms at forking out an Australian record amount for the dog, Bagalla Mick.
"The way I look at it there's no limit on the value of a good dog," he said.
Weather takes its toll on farmers
Drought is worsening across south-eastern Australia.
In the New South Wales Murray Valley region, 650 irrigators are now eligible for
exceptional circumstance assistance until next January.
In Victoria's north-east, several farmers are shooting sheep, or selling stock b
elow market prices.
Director of Hume Corridor Community Health, Wayne Weaire, is organising communit
y barbeques in the region to support farmers:

"In the last drought we found that people if they became isolated from each othe
r, if they simply worked hard on farm or simply sat around wondering what they c
ould do there were enormous amounts of stress," he said.
"It just has an impact on the whole sense of well being on the family or the ind
ividual and we found last time the greatest lesson was how important it is to ge
t out there and talk and get access to information and support from each other a
nd from other agencies."
And cold weather is a problem too.
Citrus growers in the Murray Valley and the Riverland are keeping an eye out for
frost damage.
Industry experts claim that damage occurs if the temperature drops below -2 over
night for longer than four hours and that has already happened several times thi
s winter.
Some growers fear a repeat of 1982 when young trees died because of the extreme
weather.
Horticulturalist Steven Falivene says growers need to keep in contact with their
citrus packer if they believe their fruit has been damaged by frost.
"The real damage happens at say two weeks afterwards," he said.
'Ultra virgin' olive oil technique patented
A Tasmanian olive grower has patented a new oil processing technique to produce
what he calls "ultra virgin" olive oil.
Brian Hinson says olives grown in Tasmania's cold climate produce higher than wo
rld standard levels of oleic acid, giving an even healthier oil that should attr
act a premium.
He says the secret to the high oil levels is harvesting early and taking no more
than 12 hours from picking to processing.
Incoming farm leader wants united voice for agriculture
Building a united voice for agriculture and raising the community's awareness of
farming are just two of the aims for newly elected National Farmers Federation
president, David Crombie.
Mr Crombie, a businessman and former chairman of Meat and Livestock Australia, s
ays the NFF's role is to push the farming agenda with government, and emphasise
the importance of agriculture to the economy.
He says targeting falling memberships amongst farm organisations is also critica
l.
"We can't afford division, we can't afford confusing messages coming out of agri
culture," he said.
"Look, I'd like to see all farm organisations members of NFF, but once again you
have to create a valued proposition for those people, if a producer feels that
there's no value in being a member of an organisation then he won't join, quite
simply. I think the challenge for farm organisations and for NFF is to create th
at value proposition."
Outgoing President Peter Corish says the NFF's biggest challenge is to deal with
the weak financial position of the organisation's farm body members.
Re-structure talks on the cards for peak seafood group
The future of the nation's peak seafood lobby group is uncertain, after director
s placed the Australian Seafood Industry Council into voluntary receivership.
A funding shortfall from voluntary levies and a lack of communication is being b
lamed for its demise.
Territory representative Rob Fish says the industry is expected to meet within f
our weeks to discuss re-structuring.
"I am not aware of many industry associations that can work on voluntary contrib
utions," he said.
"Most are levied across the industry, providing with constant budgets, so you ca
n budget across. Without that, I can't see it working myself.
ALP figures back compulsory ethanol levels in fuel

The push to mandate ethanol levels in petrol has a new ally - the ALP, with key
Labor figures in New South Wales and Queensland said to be pushing for a 10 per
cent biofuel component in fuels.
A motion to that effect was unanimously passed at the NSW Labor conference last
weekend..
The Labor move comes as the federal National Party leadership heads in the oppos
ite direction, ruling out any compulsory standards being adopted despite a good
deal of backbench and National Party support for biofuels.
The Government doesn't support mandating of alternative fuel because we believe
that would have a very likely if not certain market distortionary effect," said
Agriculture Minister Peter McGauran.
But NSW Labor MP for Bathurst, Gerard Martin, thinks the move to mandate ethanol
levels in fuel is a "no brainer".
He says pressure is being brought to bear on Kim Beazley and the Federal Opposit
ion to get behind a cleaner, cheaper renewable fuel.
Drought tightens grip in NSW
New drought figures have been released for New South Wales, painting a dire pict
ure this winter.
After the lowest May rainfall in 50 years, 89 per cent of the state is now offic
ially drought declared, up from 62 per cent the previous month.
Extending local content rules won't allay Nationals' fears
The chairman of the Federal Government's policy committee on communications says
the National party's concerns about cross-media ownership plans would not be al
layed by an offer to extend local content rules to regional radio.
Communications Minister Helen Coonan told the National Press Club she is conside
ring forcing regional commercial stations to air a set amount of local productio
n.
Nationals MP Paul Neville, who chaired an inquiry into regional radio, says his
party will continue to push for more concessions on the controversial media chan
ges.
Smut-infected cane to be destroyed
More sugar cane smut has been found on a south-eastern Queensland cane farm.
Authorities have confirmed that up to three hectares of smut-infected cane has b
een found on the already quarantined property near Childers.
With the industry biosecurity plan in full swing, decisions on how to destroy af
fected cane and whether local sugar mills will be allowed to crush have yet to b
e made.
Joe Russo, who discovered the disease on his family farm last week, says it is a
hot spot of infection and crops will have to be destroyed.
Former wool industry leader backs marketing campaign
A test marketing campaign for wool in the United States is money well spent, acc
ording to a former industry leader.
Former senior executive of Wool International Bob Richardson has defended the jo
int venture with Saks of Fifth Avenue and retailer Dillards.
He says the initial investment of just $6 million will be recouped by growers se
veral times.
Mr Richardson rejects the assertion made by consultant Graham Lean that money sp
ent on promotion has no impact on wool prices.
"Absolutely I do. It is just so simplistic to think that just because there is n
ot that correlation that therefore promotion of wool has not been successful in
the past," he said.
Lack of rain blamed for reduction in grain export licences
The lack of winter rain in Western Australia has forced the state's Grain Licens
ing Authority (GLA) to reduce the number of special export licences it issues th
is season.

The GLA is responsible for granting special export licences for WA barley, lupin
s and canola, and has approved just four out of nine licences in the latest roun
d of applications.
Chairman Wayne Obst says with the seeding window fast diminishing, seasonal cond
itions are too risky to hand out further licences at this stage.
"We looked at nine applications and five were deferred because of the season, so
me for canola and some for malt barley, because we feel at this stage it would b
e not appropriate to look at it, when the situation for canola is less than ordi
nary," he said.
NZ farmers encouraged to head to Tassie
Representatives of a Tasmanian council are in New Zealand at the moment trying t
o entice farmers to relocate from the land of the big white cloud to the Apple I
sle.
The Circular Head Council is distributing a booklet at this week's New Zealand N
ational Agricultural Field Days, giving a regional and economic profile of the n
orthern Tasmanian region.
The council's strategic projects officer, Lisa Nelson, says compared to New Zeal
and, prime dairy land in Tasmania is almost half the price and any farmers who m
ake the move will have no problem settling in.
"Tasmania's very similar to New Zealand in a lot of respects," she said.
Shorthorn bull sells for record Aust price
A new record has been set at the National Shorthorn Show in Dubbo in New South W
ales, with a shorthorn bull selling for $75,000.
The bull was exhibited by the Calrossy and Cowper Schools at Tamworth, and bough
t by John Nitschke from Hahndorf in South Australia.
Auctioneer Mike Wilson thinks Nero 62K Zee Top, as he is called, may have even g
one one better than setting a record Australian shorthorn price.
"I think it's a world record, I know there was a bull in Canada called Signature
who made about $US37,000 and I think $75,000 yesterday is a world record price,
" he said.
Phantom cattle prompt audit of livestock ID system
The Federal Government has ordered an independent audit of Australia's national
livestock identification system.
The system allows Meat and Livestock Australia to electronically trace cattle fr
om birth to slaughter using ear and rumen tags, but it has been controversial si
nce its inception 12 months ago.
The Agriculture Minister, Peter McGauran, says he has ordered the audit after cr
iticism from the Australian Beef Association (ABA), which claims there are 11 mi
llion 'phantom' cattle on the database that do not exist.
But the minister has warned the ABA against tarnishing the beef industry's reput
ation.
"Such criticism can potentially harm the industry," he said.
Report at odds with Govt over options for Murray
A draft report by the Productivity Commission, designed to canvass options to re
-invigorate the Murray River has found that engineering projects are unlikely to
save enough water.
The study finds the best solution is for governments to buy back water for envir
onmental flows.
But Federal Agriculture Minister, Peter McGauran, rejects the idea of government
s buying water through licences, allocations or options.
Bernie Wonder, from the Productivity Commission, says science and engineering ar
e not enough to address the shortfall in the Murray River of some 500 gigalitres
.
"We do need to go a bit further in terms of finding the quantity of water that h
as been identified and if we look only to those infrastructure solutions and tha
t is going to be a very expensive way to go," he said.

AWB execs quit

Two more executives have resigned from wheat exporter AWB.
Both men were closely connected to the company's oil for food dealings with Iraq
.
Michael Long, currently head of international sales, was in charge of the Middle
East desk at the wheat exporter during the oil for food program, and has given
evidence to the Cole Inquiry about trading arrangements at that time.
AWB was embarrassed when photos of Mr Long and former chairman Trevor Flugge, ap
peared in the media showing the men carrying guns on a tour of Iraq.
Charles Stott, currently in charge of Landmark, also appeared at the inquiry and
repeatedly denied any knowledge of kickback payments.
Budget not supportive of processors, says farmers association
Tasmanian farmers say last night's state Budget does not do enough to support pr
ocessors.
Although it describes the Budget as farmer friendly, the Farmers and Graziers As
sociation says processors need relief from payroll and land taxes.
Association executive officer Greg Bradfield says processors of dairy, meat and
vegetables are farmers' first-end customers and deserve more support.
"It's very important that they're competitive because they're under a lot of com
petitive pressure from interstate and overseas so we want to make sure that the
whole value chain is competitive so that farmers can get the most out of that va
lue chain as possible," he said.
Minister plays down prospect of banana imports
Banana growers and the Federal Agriculture Minister have rejected media reports
that Australians will be eating imported bananas within months.
While there have been calls for imports, because of the high price of bananas af
ter Cyclone Larry destroyed the Queensland crop, the Government is standing by l
ocal growers.
Federal Agriculture Minister Peter McGauran says an import risk asssessment is c
urrently underway, but previous assessments have ruled out imports.
"We will not be in any way susceptible to the temptation to bring in bananas as
a short-term risk," he said.
"We know the damage that that could cause to our industry, which would be even m
ore devastating than Cyclone Larry's effects."
Cowra meatworks dispute settled
An industrial dispute at a meatworks in New South Wales, which gained national a
ttention, has been settled.
The Cowra abattoir dismissed a number of employees, offering their jobs back at
a much lower pay rates, under the new industrial relations laws.
Under political pressure, the company reinstated the employees under their previ
ous award, while pay negotiations took place.
State Meatworkers Union secretary, Charlie Donzow, says while some workers will
receive less money, the pay is much higher than the dismissed workers had been o
ffered.
"The area where they won't gain as much is when the company goes into levels of
production over and above the minimum they put in place now," he said.
More smut found in Qld cane
Yet more sugarcane smut has been found in south-east Queensland, forcing the Isi
s Mill to postpone the start of its crush.
The mill was due to start operating on Monday but yesterday, authorities told a
growers' meeting that delaying the crush would give surveillance teams a better
chance to determine how widespread the smut problem is.
Mulesing alternatives available from 2007: AWI
Two alternatives to mulesing will be available for farmers by 2007 and 2008 resp

ectively, beating the 2010 deadline set between wool growers and animal rights g
roup PETA.
Wool Research body Australian Wool Innovation (AWI) had its trials set back earl
ier this year when the Australian Quarantine and Inspection Service rejected a k
ey product, collagenase as a biosecurity threat.
But head of blowfly control at AWI, Jules Dorrian, says a new product, producing
similar results, has received the all clear.
Retrenched Beaconsfield gold miners urged to head west
Retrenched miners from Tasmania's Beaconsfield gold mine are being lured to West
ern Australia with the promise of good jobs and a secure lifestyle.
Fifty-two workers were made redundant after the April rock fall that killed one
miner and trapped two others.
Western Australian Mines Minister John Bowler says his government has set up a s
pecial migration service to assist miners wanting to relocate to the booming res
ources state.
"We've got heaps of jobs over here, wonderful lifestyle, great to raise your fam
ilies," he said.
"We're just saying to those workers at Beaconsfield if you haven't got a job and
you've got a young family and you want to start anew, Western Australia is a gr
eat place to be.
Crop growers desperate for rain
The need for rain across north-west Victoria's grainbelt is now desperate.
A run of severe frosts this week has depleted moisture levels further.
Department of Primary Industries agronomist Rob Sonogan says about 80 per cent o
f the Mallee's crops are sown and most have germinated.
But he says without rain since the May break, many have failed to develop second
ary root systems.
"I've actually sighted a couple of situations, very small areas in paddocks wher
e the crops have actually died," he said.
Snow causes problems for NZ farmers
This week's storms on New Zealand's South Island, which have dumped more than 60
centimetres of snow, have caused management problems for farmers.
Helicopters are delivering emergency supplies to those in more remote communitie
s, including fodder for farm animals.
President of the Mid-Canterbury Federated Farmers Rupert Curd says power is out
on the Canterbury Plains and electric fences on dairy farms are on the blink.
GM cotton row heats up
Debate over genetically-modified (GM) cotton in northern Australia is heating up
, with two biotechnology companies applying to the Commonwealth regulator for li
cences.
The Office of the Gene Technology Regulator (OGTR) rejected a similar proposal f
our years ago, which means GM cotton cannot be grown commercially in the Austral
ian tropics.
Environmental groups say any new GM cotton could become established as a tropica
l weed.
But Ord River farmer Rob Boshammer says it is unfair that the north is missing o
ut on the new technology.
"I think it is a very dangerous situation where parts of the country can be allo
wed to use technology and other parts not," he said.
"It seems totally unfair to me if you live one side of the 26th parallel you can
grow GM cotton, if you live a metre the other side of the 26th parallel you can
't. It seems to put an economic impost on us."
Farmers views sought about saleyards sale
The Australian Competition and Consumer Commission (ACCC) is seeking farmers vie
ws about the proposed sale of two Victorian saleyards.

The Victorian Livestock Exchange wants to buy yards at Korumburra and Sale but a
lready owns many saleyards in the district.
The ACCC is investigating whether the acquisition will limit competition from ot
her saleyard operators.
And some farmers fear it could lead to the closure of the Korumburra saleyards.
Rodeo nominations sky-rocket
Hundreds of spectators and competitors are expected to descend on the historic T
op End town of Pine Creek tomorrow.
After a three year hiatus, the rodeo is back.
The town is also buzzing with the prospect of new gold and iron ore mines openin
g.
School teacher and rodeo competitor Mary-Ellen Willis says the popularity of the
event is growing across the Northern Territory.
"Last year there was a low number of competitors. This year it's just sky-rocket
ing. We have over 130 nominations so far," she said.
World Cup rivalry breaks out at abattoir
World Cup fever has broken out at an abattoir in north Queensland.
The heckling has started at Mackay's Borthwicks abattoir as Monday morning's soc
cer game between Australia and Brazil draws nearer.
Borthwicks currently employs 72 Brazilian meat workers who are passionate footba
ll fans and the battle lines have been drawn.
"The Brazilians are very cocky, very confident, they think they're going to win
easily, so we're giving it back to them," one of the workers said.
"A lot of them, they think things with Brazil will be the same as it was with Ja
pan. It's going to be a hard match," said another.
Specific funding for regional health care proposed
Deputy Prime Minister Mark Vaile has proposed that Commonwealth funding for heal
th care to the states be conditional on part of it being specifically allocated
to regional areas.
Mr Vaile says the state of rural cancer and obstetrics services at the moment is
unacceptable.
He says a change in the funding formula would force states and territories to sp
end more money on rural hospitals in their next funding agreements, starting in
2008.
"The Commonwealth Government has the responsibility to ensure that the taxpayers
dollars that we are spending on behalf of the taxpayers of Australia are spent
in the most equitable way," he said.
Ag Census expected to show increase in farm numbers
The country's biggest collection of agricultural information is expected to
an increase in the number of farms, despite the drought.
The Australian Bureau of Statistics is asking 190,000 primary producers for
uction figures and stock numbers for the 2006 Agricultural Census.
The last census, five years ago, identified 130,000 genuine farm businesses
ating in Australia.
But the bureau's Allan Nicholls is expecting an extra 30,000 small farms to
icipate this time.
"They've certainly been there all along but they've been quite small and we
n't been able to pick them up through our normal channels," he said.

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Elders seals deal to export beef cattle to Russia

A deal to ship Australian breeding beef cattle to Russia has been signed by past
oral company Elders.
The first shipment of 3,500 cattle is due to leave Australia in July from Portla
nd in Victoria and Fremantle in Western Australia, eventually unloading in Vladi
vostok, so they can acclimatise before the Northern Hemisphere winter.
The plan is to then increase shipments until about 50,000 Australian cows a year

are sent to Russia.

More sugar cane smut found in south-east Qld
Surveillance work over the weekend has uncovered more sugar cane smut in south-e
ast Queensland.
The exotic fungal disease that stunts sugar cane has now been found on at least
six more properties near Childers.
Unlike the first few identified hot spots, the latest properties to be confirmed
quarantined and 'struck' by sugar cane smut are not from the same farms but the
y are within a few kilometres of the initial discoveries.
Surveillance work is being stepped up throughout the region and the Isis sugar m
ill has postponed the start of its crush until next week.
Nearby Bundaberg Sugar has put its harvesting on hold, just for the day, to enab
le its growers to meet and learn more about the disease.
Retrenched Beaconsfield miners yet to find jobs
Retrenched miners from the Beaconsfield Gold mine in Tasmania say job offers are
not exactly pouring in.
Just last week the Western Australian Government was talking up opportunities to
try to lure experienced underground operators from Beaconsfield.
But Jerry Kahmann says he has been applying for jobs since the Beaconsfield rock
fall two months ago.
He says despite the $8 million Federal Government aid package, he and his mates
have been left to their own devices to find new work and he has not yet been off
ered anything outside Tasmania.
"We're all hearing that there's a great big shortage of skilled miners on the ma
inland," he said.
"Maybe a position in Cobar, there's another position up in Cannington, Queenslan
d, Bendigo.
"Got in four applications up in Olympic Dam with BHP Billiton themselves, also I
've tried to get in with the contractors up there.
New import rules bring India into line with international standards
India's Government has agreed to new rules for wheat imports, as the country str
uggles to fill a multi-million tonne tender.
Only two companies, including Australia's AWB, put forward successful bids in th
e last round.
India is hoping its new requirements, which bring it in line with international
standards, will attract more interest.
Farmers urged to get involved in carbon trading scheme debate
A report commissioned by the National Farmers Federation says farmers should pus
h to have trees on their properties included in carbon trading schemes.
It says schemes being drawn up by states and territories are likely to have an i
mpact on the cost of power used by farmers but this could be offset by selling c
arbon credits from farm forestry.
The report's author, Brett Janissen from the Allen Consulting Group, says with a
New South Wales scheme already established, farmers need to get involved in the
debate now.
"It's not completely clear at this point that the system that states are designi
ng will actually countenance forest sinks," he said.
"It's very likely but my advice to the farmers is to throw their weight behind t
hat to push that over the line.
Melbourne wool auction room lease good news for buyers
An offer by independent wool brokers to take up the lease of Melbourne's auction
room has gained the support of buyers.
The Australian Wool Exchange announced last month it was giving up the lease of
the Brooklyn wool selling centre.
Peter Morgan, from the Australian Council of Wool Exporters, says the interest o

f independent brokers is good news for buyers.

"We were quite worried at first but we're delighted that the independent brokers
have been able to react as quickly as they have and in the manner that they hav
e," he said.
"What it will mean that it ensures the ongoing of sales here which is the most c
onvenient site for buyers because they've all got, nearly as I said, nearly all
got offices here."
Mashes committee winds up
Landholders in the Macquarie Marshes of central western New South Wales have bee
n forced to disband their local management committee because of ongoing drought
and a lack of funding.
Scientists say the marsh is the largest nesting site in Australia for waterbirds
like egrets, ibis and heron but over the last four years it has been so dry the
birds have been unable to nest.
Sue Jones, from the now defunct management committee, says it is a struggle to s
urvive.
"With drought and reduced flows in the river, landholders just cannot keep going
," she said.
"They need to at the moment put their time and resources into their own enterpri
ses just to keep themselves afloat.
Irrigators donate water to dying red gums
Irrigators in north-west Victoria have donated a record amount of water to save
stressed and dying river red gums.
It is the second year the Mallee Catchment Management Authority (CMA) has coordi
nated the project.
This year 1.7 gigalitres of water has been donated, enabling seven sites along t
he Murray River to receive environmental flows.
CMA chief executive Jenny Collins says it is an amazing response considering the
economic downturn facing local horticulture.
"They have really showed that they care about the environment by donating their
water in this sort of fairly severe situation for them," she said.
Farmers may have to customise products
Farmers are being urged to sell the health benefits of their products if they wa
nt to get ahead in an increasingly competitive market.
A conference in Melbourne, looking at the future of food, has been told consumer
s will pay more for produce that offers added benefits like higher calcium or an
tioxidants.
Dairy researcher Peter Hobman says it is not unthinkable that farmers will have
cows producing specific healthy types of milk.
"There is certainly the potential for individual dairy farms or collections of d
airy farms to produce milk that is customised for an end use," he said.
US sugar quota changes mooted
The US sugar quota program has long been a source of frustration for Australian
producers and exporters.
But changes may be in store.
With full implementation of the North American free tree agreement by 2008, US A
griculture Under-Secretary JB Penn says a flood of Mexican sugar could force cha
nges.
"The border, being completely open in 2008, will mean that we will have to modif
y the program in some way we can't continue to operate a supply-control program if
you can't control the supply," he said.
Abrolhos Islands able to handle day tourists, says researcher
The beautiful Abrolhos Islands off the coast of Western Australia are said to be
one of the country's best kept secrets.
They are dotted with bright beach shacks that rock lobster fishermen and their f

amilies live in for three months of fishing.

There has been increasing concern that the islands are a secret no longer and to
o many visitors are wrecking the biodiversity.
But after studying the problem, university PhD student Emily Stoddard says there
is still a place for tourists.
"I think that the islands certainly could handle much more day visitation of the
type where the air charter flights bring in people for the day, take them for a
swim and a snorkel, have a picnic, go for a walk," she said.
Grim outlook for grain production
The continuing drought has worsened Australia's outlook for grain production.
The Australian Bureau of Agriculture and Resource Economics (ABARE) has just dow
ngraded its forecast for this season's crop yields, by 11 per cent, since its la
st forecast in February.
ABARE says the area being sown to wheat, barley and canola has also fallen 6 per
cent.
But the bureau's John Hogan says while plantings are down in most states, the ou
tlook is still better this winter than last.
"Last year we actually released our crop report a little bit earlier than this,
and were a bit below what we're saying now," he said.
AWB in bid to stop inquiry accessing oil-for-food documents
Wheat exporter AWB is back in the Federal Court today, trying to stop the inquir
y from using documents relating to the company's own investigation of the oil-fo
r-food dealings.
AWB has asked the Federal Court to permanently block Commissioner Cole from acce
ssing some 2,000 documents covered by legal professional privilege, including th
e company's own 18-month internal investigation into its part in the oil for foo
d program.
Recent changes to the Royal Commissions Act now give Commissioner Cole the power
to examine the documents, and decide if the privilege claim is valid.
Although the Federal Court is set to rule on the privilege status of the documen
ts in July, today's action from AWB is to try to stop the Cole Inquiry accessing
documents now.
Citrus canker report due out today
The Senate Rural Committee will table its report on central Queensland's citrus
canker outbreak this afternoon.
The outbreak of the disease on Evergreen farm near Emerald led to the destructio
n of all citrus in the region - about 500,000 trees in all.
Demand keeps beef prices up
Global beef prices are tipped to remain solid, with strong demand for Australian
beef and live cattle exports.
The US drought, and lacklustre US exports because of mad cow disease, should und
erpin this bouyant demand for several months, at least.
Steve Kay, the editor of US Cattle Buyers Weekly, says the American drought is s
lowing production, but the biggest single influence is still the inability of th
e US to export to Japan and Korea.
Wineries urged to dump excess wine
The country's peak wine grape grower organisation has called on wineries to dump
excess wine to ease the current oversupply.
Mark Mckenzie, from Wine Grape Growers Australia, says wineries should help out
growers by throwing out large volumes of old, poorer quality wine.
He says wineries should also consider mothballing their own vineyards and buying
from individual growers instead.
"There are some wineries unfortunately who want to walk away from the issue and
say it's not our problem, it's grower's problem. But they are still significant
producers," he said.

"They are still part of a system and obviously they were very largely responsibl
e for oversupply by giving very strong market signals over many years for grower
s to plant."
Meanwhile, the Australian table grape industry says it will continue its battle
to try to export to China.
A delegation has spent the past fortnight meeting with quarantine officals and l
ooking at the Chinese table grape market.
Australia has never had formal access to China but our fruit used to be sent via
Hong Kong.
Australian Table Grape Association chief executive, Jeff Scott, says he will enc
ourage the Federal Government to talk with Chinese Government officials.
"They are very concerned about some of Australia's pest and diseases in particul
ar fruit fly but we've done a lot of work on fruit fly in the sense if we do col
d disinfestation treatment it will kill all fruit fly," he said.
More wool processing goes offshore
The shipment of the Australian wool processing industry to Asia continues to gat
her pace.
Elders has announced it will start fitting out its new Chinese factory with equi
pment from its former Geelong plant in the next few weeks.
However, the company still has not made a decision on what it will do with equip
ment from its Parkes plant, in New South Wales.
Will McEwin, the general manager for Elders in China, says the former Geelong pl
ant should be in full operation by early next year.
"It will be effectively what Geelong was, which was scouring as well as combing,
right the way through to top and then we also have a link into the larger Nanch
ang group which is our partner in China and they go right the way through to sui
t making," he said.
Dairy farmers get animal welfare information kits
Dairy farmers around Australia are being sent kits in the mail, containing infor
mation about animal welfare practices.
The kit, from Australian Dairy Farmers Limited, aims to inform the wider communi
ty, rather than the farmers, about the industry's standards.
Wes Judd, from Australian Dairy Farmers, says it help dairy farmers stand up aga
inst critics in the community.
"We feel we have a huge resource in our producers around Australia and we want t
o give them the information," he said.
Banana prices has flow on effect
The high price of bananas has also pushed up the price of apples.
There is increased supermarket demand for apples after Cyclone Larry destroyed a
bout 90 per cent Queensland banana crop.
Peter Darley, from Apple and Pear New South Wales, says prices are now the highe
st for several years, and in some places are up by 40 per cent on last year.
But he says there is also competition from mandarins.
"There is quite a steady demand for apples this year. Prices are reasonable. The
re is always going to be shelf space there as the bananas are quite expensive an
d they would be stocking very, very few bananas," he said.
"But I think also there is a preference to citrus as well. Children have got a p
reference for mandarins because they are easy to peel, whereas these days kids s
eem to want a sliced apple and that is very difficult to put in a lunchbox."
Insurance
Meanwhile, the banana industry wants to set up its own crop insurance scheme.
The industry on the east coast has not had any form of crop insurance for six ye
ars, after finance companies stopped offering it, due to weather risks.
The Australian Banana Growers Council says it has cost producers $60 million to
get back on track after Cyclone Larry.
The council's Tony Heidrich says a cost-sharing insurance scheme between growers

and the Federal Government would help.

Extention of ag census to small farms welcomed
The decision to include more of Australia's small farms in this year's agricultu
ral census has been welcomed by authorities in coastal New South Wales.
Australian Bureau of Statistic's surveys are in the mail this week, including 30
,000 to hobby farms that generate as little as $5,000 a year.
John Williams, from the New South Wales Primary Industries Department, says it w
ill give the first truly accurate account of coastal farm production.
WA takes fight to 'cane toads with wings'
Western Australia is stepping up its fight against the destructive pest bird the
starling.
The State Government has allocated an extra $2 million towards reducing starling
populations in the state's south.
Agriculture Minister Kim Chance says starlings are every bit as unwelcome as the
cane toads threatening the north of WA.
"I think cane toads with wings is a very apt description," he said.
Paper maker adds new zoo poo to roo poo
After having worldwide success with a paper made from kangaroo poo, a company in
north-western Tasmania has signed up with Sydney's Taronga Zoo to make use of i
ts elephant waste.
Creative Paper will make a range of stationary, for sale in the zoo's gift shop.
The company's Joanna Gair says the first elephant dung delivery was in a fine pa
per-making state by the time it arrived in the post.
"It had been in transit for just over a week so it was fairly ripe by the time t
hat we'd received it," she said.
Senate committee changes criticised
The Federal Opposition says the Government's move to cut the number of Senate co
mmittees from 16 to 10 is partly designed to silence "maverick" rural MPs.
Labor and Greens senators say the Government wants to stop committees dealing wi
th contentious rural issues like the AWB oil-for-food scandal, mismanagement at
Australian Wool Innovation, citrus canker, the Snowy Hydro sale and Telstra serv
ices in the bush.
Liberal Senator Jeannie Ferris, from the Rural and Regional Affairs Committee, d
enies the changes will not stop scrutiny of rural issues.
"All those significant inquiries - AWB, AWI, any changes to the Wheat Marketing
Act, the question of apples coming in from New Zealand - they have all been done
by the Legislation Committee, which remains," she said.
No AWB bid for Indian wheat contract
Eight international companies are competing for the latest $2.2 million tonne te
nder of wheat to India, but Australia's AWB is not amongst them.
The wheat exporter is working through another two deals to India worth a million
tonnes.
Canada and Europe are expected to be the main suppliers for the new tender.
Court ruling delays Cole inquiry findings
The Cole inquiry into wheat exporter AWB is now not expected to deliver its find
ings until September or October.
AWB's Federal Court action over privileged documents is the reason for the delay
.
Although AWB lost its fight to keep the "apology" document confidential, it has
kept fighting to keep some 2000 other documents from public scrutiny.
Earlier this month the wheat exporter launched legal action to get the Federal C
ourt to decide the privilege status of the documents, including those of its own
internal inquiry into oil-for-food dealings.
Yesterday's hearings in the Federal Court ruled AWB had the right to get the cou

rt to decide the legal status of the documents, because their case preceded the
increased powers of Commissioner Cole.
China agrees iron ore price rise
China's steel mills have given into pressure to settle on a 19 per cent increase
in iron ore price in negotiations with Australian producers.
Negotiations broke down in April, with China refusing to pay higher prices again
, after hikes of more than 70 per cent last year.
Citrus canker report recommends AQIS changes
A Senate report into the Queensland citrus canker outbreak has recommended the A
ustralian Quarantine and Inspection Service (AQIS) respond to allegations of bre
aches of quarantine in fewer than three working days.
The five recommendations also included police training for some AQIS staff and a
n overhaul of the National Management Group for pest incursions.
The Senate rural and regional affairs committee found citrus canker had destroye
d 500,000 trees around Emerald in Central Queensland, and cost the region $70 mi
llion.
Managing director of 2PH farms, John Pressler, lost more than 250,000 trees to c
anker, but says he is not surprised no-one was charged over the outbreak.
"It's really only subsequent to the Senate inquiry that the investigators actual
ly revisited the whole scene," he said.
"By this time, a whole lot of evidence and information is missing, so it's not s
urprising, it's just another indictment against the way AQIS performed in this e
ntire charade."
Federal Agriculture Minister Peter McGauran says he will carefully consider the
findings of the Senate report, and believes at least two of the recommendations
make good sense.
He has defended AQIS against criticism that it was too slow to investigate repor
ts of illegal imports of citrus budwood.
"I don't agree with the criticisms of AQIS. These investigations were conducted
professionally and thoroughly," he said.
Mining bursaries offered to WA students
The Federal Government has established a $500 mining careers bursary, to encoura
ge students to take up careers in the mining industry.
The cash is on offer to 30 year 10 students who choose to take on the challengin
g maths and science subjects that are pre-requisites for entry into mining cours
es at Western Australian universities.
Eric Lindsay, from Curtin University's school of mines, says he hopes the studen
ts will eventually help ease Western Australia's labour shortage.
Meat industry concerned over skilled worker visa delay
The Australian Meat Industry Council will meet the Federal Immigration and Agric
ulture ministers this week to try to sort out problems with the skilled workers
visa program.
Currently, the Immigration Department is not processing applications for skilled
workers under the 457 visa program because of concerns some employers are breec
hing the visa conditions.
Australian Meat Industry Council chief executive, Kevin Cottrell, says delays in
processing visa applications for overseas meat workers are creating a nightmare
for the industry.
Endangered cockatoo could scuttle pulp mill
Developers of a proposed $650 million pulp mill at Penola in South Australia fea
r six dead trees will scuttle their project.
The river red gums are potential breeding sites for the endangered red-tailed bl
ack cockatoo.
The Federal Department of Environment and Heritage has declared the project will
have a significant impact on the bird, and referred the matter to the Minister,

Ian Campbell, for a final decision.

Project manager John Roche says his Protavia company is very disappointed with t
he decision.
Qld Uniting Church leader speaks out against proposed dam
A religious leader has spoken out against a proposed dam on south-east Queenslan
d's Mary River.
Up to 900 properties along the Mary River will be flooded, forcing many farmers
and home-owners off their land.
The Queensland Government says drilling has found bedrock, meaning the site is s
uitable for a dam.
The Moderator of the Uniting Church in Queensland, Dr David Pittman, says the lo
cal community was not consulted before the project was announced.
"The people in the Mary Valley at the present time are experiencing a mix of dis
may, of shock, of confusion and of anger," he said.
Blue mussel farm set to become Australia's largest
Within five years, South Australia's Wallaroo Blue mussel farm will be the large
st in the country.
The business is spending $4.5 million developing its 200 hectare lease in the Sp
encer Gulf.
New Zealand company Flinders Seafood aims to supply 2,000 tonnes a year of blue
mussels to the fresh seafood market.
Company director Bruce Koller says a major part of the expansion will be marketi
ng mussels to Australian consumers.
"In New Zealand we eat about two and a quarter kilograms of mussels per head per
year and in Australia it's about one tenth of that," he said.
Mango industry to target young families
Research has revealed mango lovers are an ageing population, with more than 60 p
er cent of consumers aged over 40.
The expanding mango industry plans to step up its campaign to target young famil
ies, particularly in the cooler southern climates.
Trevor Dunmore from the Australian Mango Industry Association says young people
need to be taught how to eat mangoes easily.
"Young people are often busy like all of us and often don't have time and want s
omething quick and fast, and that's why you see fast food restaurants become so
popular," he said.
"Traditionally mangoes have been seen as messy to eat, something you had to actu
ally cut and prepare and it takes time.
Garden club members take up fruit fly fight
Gardeners near Victoria's Goulburn Valley region are taking up the fight against
Queensland fruit fly.
Recent outbreaks in southern New South Wales and Shepparton in Victoria have spu
rred the Garden Club at Howlong, on the Murray River, into coordinating baiting
programs, and disposing of rotten fruit.
Howlong Garden Club members say they are extremely disappointed with this year's
crop.
"We had a nectarine tree this year that was just beautiful and I thought I'll ge
t in before these little buggers and I'll pick them a bit earlier," one member s
aid.
"I picked them all, took them inside and cut one and it was just full of maggots
, it was just terrible."
Anti-mulesing campaigners protest at soccer World Cup
Animal rights protesters have taken their campaign against mulesing Australian s
heep to the soccer World Cup in Germany.
Vegie exports drop

Vegetable exports dropped $30 million in the last ten months, as Asian markets o
verlooked fresh Australian produce in favour of cheaper goods.
At the same time, imports of fresh and frozen vegies increased by 6 per cent, pa
rticularly frozen potatoes from the Netherlands and Belgium.
Chief economist at Ausveg, Ian James, says the big threat to Australian exports
is from China.
"The Chinese threat is more one in terms of them competing with Australia in tra
ditional Asian markets, rather than Chinese imports, if you like, coming into Au
stralia," he said.
Volunteers pitch in to help out bushfire-affected farmers
A massive working bee is under way in southern New South Wales to help farmers b
urnt out on New Year's Day.
The bushfire blackened 25,000 hectares of farming country near Junee.
People from all walks of life have pitched in to repair the damage.
The fire destroyed 1,500 kilometres of fencing and six months on much of that st
ill needs to be replaced.
There has been no substantial rain and for many farmers hand feeding livestock i
s the priority.
So armed with gloves, pliers and wire-strainers, more than 100 volunteers are le
nding a hand.
WA Govt looks to Europe to toughen illegal fishing laws
The Western Australian Government has looked to leads from Europe for tough new
laws on illegal fishing.
Fisheries Minister Jon Ford says those caught in state waters will now face fine
s of up to $150,000 and longer jail sentences.
The changes also give state fisheries officers new powers to seize suspected ill
egal vessels, even if they do not have an actual catch on board.
Mr Ford says international fishing laws do not have enough clout.
"I sent my officers over to Europe to talk to the OECD authorities that deal wit
h illegal fishing," he said.
"They told us it was very difficult to get a conviction under international law,
it was unlikely that it would change in the near future. Our best chance was to
strengthen our laws at a domestic level."
Frost hits SA winter potato crop
The price of potatoes could be set to rise after a large area of the winter crop
was wiped out in South Australia's Mallee region.
Growers estimate about 10,000 tonnes of potatoes have been affected by frost and
they are expecting stocks to be in short supply later in the year.
Pinnaroo grower Rick Rossitano lost about 4,000 tonnes.
"It's very widespread. It's affected all the spud farmers in the area," he said.
Dairy farmers warned to prepare for drop in income
There is a warning for dairy farmers today to prepare for a drop in income, as m
ilk processing companies announce new season prices.
Fonterra has announced a 5 per cent drop in opening price compared to last seaso
n, blaming the downturn on a weaker international market and fluctuating Aussie
dollar.
Industry analyst Steve Spencer believes other processors will follow suit.
"There's a lot of competition for milk in the industry and that's a pressure tha
t's keeping prices reasonably firm," he said.
Police won't investigate mulesing complaints
The New South Wales Police Force has poured cold on water on claims that farmers
could face animal cruelty charges if they mules sheep without pain relief.
Animal Liberation has warned that from July 1, they will ask police to investiga
te anyone carrying out a mulesing operation without analgesia, saying that would
contravene animal cruelty legislation.

But NSW Assistant Police Commissioner Steve Bradshaw says police will not be vis
iting farms, as mulesing is legal.
ABARE urged to lower wheat yield estimates
A grains industry analyst says the latest forecasts for Australia's crop yields
this year are too optimistic.
The Australian Bureau of Agriculture and Resource Economics (ABARE) has revised
its harvest estimates down by 11 per cent since February but says the outlook is
still quite positive.
But the editor of the Callum Downs Commodity News, Malcolm Bartholomeus, says AB
ARE should lower its wheat yield estimate of 22.8 million tonnes.
"If we don't get some rain right around the country very soon they will have to
start factoring in some quite substantial production shortfalls from the estimat
e that they have published at this stage," he said.
Joyce not budging
Nationals Senator
to force changes
on biodiesel.
He says the bill,
rebate from major

on biofuels bill
Barnaby Joyce says he will vote against the Federal Government
to a fuel tax bill, which could see farmers get fewer rebates
being debated today, only allows farmers to get a diesel fuel
oil companies, and not small biodiesel producers.

N Korea nuclear concerns push up gold price

The price of gold was up $12 in New York overnight after a spate of safety-net b
uying by international investors concerned about North Korea's nuclear ambitions
.
Gold Corporation analyst Brom Suchecki says safe-haven buying is also rapidly in
creasing in Australia, as a protection against nervy equities and booming real e
state markets.
Mr Suchecki says gold buying at the Perth Mint is up 300 per cent in the past ye
ar.
"A lot of it is what you would call your mum and dad investors. I think that ins
titutional demand is probably a factor overseas, probably not so much in Austral
ia," he said.
Tas mine fire halts production
An overnight fire has stopped production at an iron ore mine in a remote area of
north-east Tasmania.
The fire at the Savage River mine is believed to have started in an ore concentr
ator while workers were welding.
More than 40 firefighters battled the blaze, and Australian Bulk Minerals managi
ng director, Dave Sandy, says the damage is still being assessed.
"Most of the damage is related to conveyor belts and electrical cabling, there m
ay be some structural damage on the upper levels but on the main floor it seems
to be in reasonably good shape," he said.
Truss comments spark rail infrastructure stoush
A war of words has broken out about whether the rail freight industry is pulling
its weight when it comes to funding infrastructure around the country.
Federal Transport Minister, Warren Truss, said rail should do more to make itsel
f competitive and win back its share of the market from road freight.
The Productivity Commission is investigating whether road and rail freight indus
tries are competing on a level playing field.
Brian Nye from the Australasian Railways Association says the industry is workin
g hard to improve its position.
"Rail has been neglected and the Commonwealth Government has put quite a lot of
money into it, but overall it's doing a lot to improve itself and it could do mo
re," he said.
US could target Aust pork market, researcher says

The re-entry of the US into the Japanese beef market could see American producer
s try to sell more pork to Australia.
The chief executive of the Pork Cooperative Research Council, Dr Roger Campbell,
said the beef ban saw the Japanese switch to US pork.
"So what they did get was pick up [in]... exports, record exports actually, in p
ork, so they are likely to come back and so they'll be looking for other outlets
for them and Australia is one of those outlets," he said.
US cattlemen unhappy with Japanese beef trade terms
The US beef industry is not impressed by Japan's agreement to re-open its market
to US beef after Tokyo completes inspections of US plants in July.
Trade adviser for the National Cattlemen's Beef Association, Greg Doud, complain
s it has been two-and-a-half years and the US has traded no beef with Japan.
Now on the eve of a visit to the US by Prime Minister Junichiro Koizumi, Japan h
as agreed to resume imports, but keep out the vast majority of US beef with what
Mr Doud says is an unscientific barrier to trade.
"We're not going to be happy until we're at an international guideline, and we'r
e able to trade everything, at a minimum, under 30 months of age," he said.
Japan insists on a 20-month standard to combat mad cow disease.
The US cattlemen back trade sanctions against Japan, introduced by several US la
wmakers, until Japan finally lifts its US beef ban.
The Cattle Council of Australia is cautiously welcoming the news.
Executive director David Innal says the sooner consumer confidence about the saf
ety of beef returns, the better for all cattle producers.
"We welcome the US beef coming back into the market," he said.
"Since BSE was detected total consumption of beef is down about 15 per cent and
what we are about is seeing that total pie growing of beef consumption.
New 'Team Dogging' event to feature in rodeo
This weekend's annual rodeo in the small far north Queensland town of Laura feat
ures a new event called 'Team Dogging'.
Organisers believe it is the first rodeo in Australia to have a bull-dogging com
petition with two horsemen leaping off to grab a bullock - one by the head, the
other by the tail.
Laura rodeo secretary Karlene Shephard says the event evolved last year when the
truckload of normal dogging steers did not turn up, so they used larger bullock
s instead.
"[The] fellas went through and drafted off the ones that had a little bit of hor
n that was there and put them in the dogging box," she said.
"When the first fella went in he looked at it and he said 'gee they're a bit big
' because they were bullocks and they were flat out fitting in the dogging box a
nd anyway another fella off the committee said 'why don't two of you have a go a
t it'.
Salvos to maintain refuge staffing levels
The Australian Services Union says the Salvation Army has agreed to maintain sta
ffing levels at its Newcastle refuge for the time being, while negotiations cont
inue over planned staff cuts.
The Salvos want to restructure Faith Cottage, a crisis accommodation centre for
women and children, so permanent staff would be employed on a part-time basis.
A night-shift position will also be cut.
The union's Kylie Rooke says management of the centre has agreed to negotiate it
s position.
"The Salvation Army have responded to our offer of working cooperatively togethe
r by saying they are willing to continue discussions and they will maintain the
status quo at the service in regards to it being staffed 24 hours and the hours
that the staff work," she said.
Fuel tax Bill expected to negatively impact on biofuels industry
A fuel tax Bill which passed through the Senate last night is expected to have a

negative effect on the biofuels industry in Australia by removing tax advantage

s for smaller biofuels producers.
Last year the Federal Government commissioned a report into the viability of the
industry, including research from the Australian Bureau of Agriculture and Reso
urce Economics (ABARE).
ABARE'S study says the world oil price, feed grain prices and tax arrangements a
ll affect the industry.
The report's author, Graham Love, says any changes to taxation are significant.
"They could have a significant effect to the extent that if tax treatment became
more generous then you would presume that that would make the industry more via
ble or if they were to go the other way it would be less viable," he said.
The Senate was also told the Bill could severely disadvantage rural communities
who are looking to the biofuels industry for investment.
Gary Tepper, from Swan Hill Council in Victoria, says the whole community is wor
king hard to make sure a local ethanol plant goes ahead.
"We really see the whole biofuels, renewable energy industry as some sort of hop
e for regions," he said.
Bad roads costing states: report
A new report claims low road and transport investment is costing some states up
to 12 per cent in livestock exports.
The Australian Livestock Transporters Association is debating the report on bad
roads at its national conference this weekend in Canberra.
While fuel prices continue to plague the industry, the association's executive d
irector, Luke Fraser, says gains can be also made in other areas.
"There's a limit to what the industry and perhaps even the Australian Government
can do with world fuel prices, which has forced us to look more closely at thin
gs like targeted road investment," he said.
Farmers, service station owners not expecting inquiry to lower petrol prices
The National Farmers Federation and fuel station owners are not expecting anothe
r Senate inquiry into fuel will lower prices.
Senator Nick Minchin has announced the new inquiry after pressure from the Feder
al Opposition.
While there is scepticism about what the Government says is the 45th parliamenta
ry probe into petrol pricing, Ron Bowden from the Service Stations Association s
ays it is always a useful exercise.
"There's always value to an inquiry because the market never stays still," Mr Bo
wden said.
Fishing cops to be based in Darwin
The policing of illegal fishing in Australian waters is being centralised in Dar
win.
It is part of the Federal Government's budget allocation of $389 million over th
e next three years.
Fifty-three people will be based at the new Territory head office of the Austral
ian Fisheries Management Authority.
The authority's Peter Venslovas says nearly 190 illegal boats have been apprehen
ded so far this year.
"And our target rate for the coming year will be about 650 vessels," he said.
"Last calender year 281 illegal foreign fishing vessels were apprehended. Most o
f those, or nearly all of those were from Indonesia.
Use of brown coal could reduce greenhouse emissions, study shows
A research project into the use of brown or dirty coal could reduce Australia's
greenhouse emissions from power generation to close to zero in the next decade.
The Monash Energy and Anglo Coal project in Victoria is exploring the feasibilit
y of drying, gasifying and then liquefying coal into a new synthetic low emissio
n fuel.
With 80 per cent of Australia's power generation coming from coal, Jeff Cochrane

from Monash Energy says there will be important benefits for the environment
Strategy tackles vegie supply plan for remote communities
Aboriginal communities should get better supplies of fresh fruit and vegetables,
following the remote Indigenous stores conference held in Adelaide this week.
Community leaders, store managers and freight companies, from three states and t
he Northern Territory, collaborated to work out better ways to improve delivery
of perishable goods.
Many neighbouring communities have been using different trucking companies and i
n far north WA, Bililuna store manager Tom Waller says hopefully they can now ge
t their vegies more than once a fortnight.
Organic beef producers feeling drought
Organic cattle producers in the outback channel country of Queensland and South
Australia are finding it hard to meet demand because of the continuing drought.
OBE Beef, which supplies grass-fed organic beef to the United States, Europe and
Asia, is finding it tough as dry conditions keep cattle numbers low.
Sharon Oldfield from Cowarie Station on the Birdsville Track, who supplies organ
ic beef, says they have had to halve their cattle herd.
"We wouldn't have had a good general summer rain probably for four or five years
now, in some areas it's been up to six years," she said.
Wool trade features in award-winning novel
A former wool grower and shearer's cook has won Australia's richest literary pri
ze.
Roger McDonald was last night awarded the Miles Franklin award for his novel abo
ut the origins of Australia's wool trade, The Ballad of Desmond Kale.
NT aerial medial team celebrates milestone
There is another medical team celebrating 60 years in the air.
The Top End Aerial Medical Service averages six flights a day, caring for those
living north of Elliott in the Northern Territory, and also serves offshore oil
rigs and parts of South-East Asia.
Flight nurse Marg Fuller has been on board for half of the service's history, an
d has one particularly happy memory.
Europe poised to act on foreign wine threat
Europe is admitting it has to do something about the threat from foreign wines p
roduced in Australia, South Africa and Chile.
The European Commission has unveiled plans to pull out more than 10 per cent of
Europe's vines over the next five years to reduce its wine glut.
The move, which will cost of 2.4 billion euros, is an admission that Europe is w
orried about the threat from foreign wine producers like Australia, South Africa
and Chile.
The EU also admits it has made mistakes in the areas of marketing and subsidies.
The commission's Michael Mann says it is a radical overhaul to address a massive
wine lake.
"We are going to get rid of a situation where we have got too much wine. We are
going to use money to get people out," he said.
"We are going to simplify our labelling rules and you know after a five-year per
iod once all is said and done with the re-structuring it will be the market that
decides. We want to be in the situation where the European wines are the ones p
eople are choosing."
Wheat trade with Iraq to continue: Howard
Wheat Australia, which is yet to ship 350,000 tonnes of wheat to Iraq, is watchi
ng events in the Middle East closely, after the Iraqi Trade Minister threatened
to stop all deals between the two countries.
Abdul Falah al-Sudany threatened to cut trade ties after the shooting of a bodyg
uard from his ministry by Australian soldiers earlier this week.

But following diplomatic talks overnight, Prime Minister John Howard has told Ch
annel Nine he does not expect Australia's wheat trade to be affected.
"I can tell you that the Iraqi Trade Minister saw the Australian ambassador and
the Iraqi Trade Minister told our ambassador that he did not want this incident
to interfere with the bilateral relationship or to affect our trade relationship
," he said.
Meanwhile, the Western Australian Farmers Federation denies it is withdrawing su
pport for AWB's wheat export monopoly.
Federation senior vice-president, Robert Doney, yesterday suggested in a nationa
l newspaper interview that the veto power should be removed from AWB's single de
sk.
But grains president Ray Marshall has described the comments as a "naive indiscr
etion", and denies any split on the issue.
"Always when you have 17 people sitting around a table you will have differing o
pinions," he said.
"I believe at this moment whilst policy is very clear, we're at the status quo u
ntil such time that the Cole Inquiry comes out and we're very clear about our vi
ews.
Meanwhile, Australia is not alone in suffering wheat crop losses this year from
drought.
The US crop continues to decline in quality, as well as quantity, amid persisten
t heat and drought.
The US wheat crop is already forecast off 14 per cent from the last marketing ye
ar, and dry conditions are also taking a toll on the quality of what's left.
Brad Rippey is a US Agriculture Department meteorologist and says the winter whe
at crop is rated 29 per cent which is good to excellent.
"But a very large 46 per cent is very poor to poor," he said.
Minister pushes deal with Gulf states
Although talks to set up a free trade deal with the United Arab Emirates have st
alled, Trade Minister Mark Vaile says Australia should try to do a deal with all
six nations of the Gulf Co-operation Council.
A spokesperson for the Minister says the Gulf states are an important and growin
g market for Australia, with exports of goods worth $4 billion in 2005.
The Gulf Council comprises the UAE, Bahrain, Kuwait, Oman, Qatar and Saudi Arabi
a.
Commodity exports' earnings booming
Earnings from commodity exports are booming even more than expected this year, l
argely thanks to the minerals and energy sector, according to the latest figures
.
Australia's Bureau of Agriculture and Resource Economics (ABARE) predicts commod
ity exports will rise 16 per cent this year, more than double its original forec
ast issued at the Outlook Conference in February.
The increase is thanks to a strong minerals and energy sector which is now expec
ted to earn $48 billion - up $4 billion on the February forecast.
It is a different story for farm commodities though with the February forecast o
f $29.6 billion downgraded slightly.
NLIS program chief defends rollout
The head of the committee in charge of implementing the National Livestock Ident
ification System (NLIS) has defended the time it is taking to roll it out.
That is despite just one state so far - Victoria - having mandatory NLIS without
any exemptions.
The NLIS is a national program designed to allow all cattle to be traced from pa
ddock to plate.
The chairman of the national NLIS executive committee, John Wilde, says the roll
out has exceeded expectations.
"We are well into the implementation phase and it's performing really well, it's
exceeding our expectations. It will obviously be a number of years before the i

mplementation phase is finally washed through. But we are very very pleased with
the progress to date," he said.
Meanwhile, Linda Hewitt, the chairwoman of the Australian Beef Association, whic
h is lobbying against the NLIS, says cattlemen were better off without the schem
e.
Tas fox population confirmed: report
A new report has found there are definitely foxes in Tasmania and they pose a mu
lti-million dollar threat to the State's agricultural sector.
Despite a number of reported sightings since a state task force was set up three
years ago, the existence of foxes in Tasmania has remained an open question.
But main author of the new report, Glenn Saunders, says there is no doubt that a
small population exists.
"I guess we came in as an external group and looked at it impartially," he said.
"We had nothing to gain or benefit from concluding one way or the other, but on
reviewing all of the available evidence that we could gather, and I mean all of
the available evidence not just snippets of it here and there, we really couldn'
t come to any other conclusion."
And if they find the Tassie foxes, there is a market for them.
A fox skin buyer and exporter says demand and prices for Australian fox skins ar
e rising after years of disinterest from the trade.
The trade declined and prices plummeted during the 1980s during a bitter campaig
n waged by animal liberation groups against the use of fur in fashion.
A large number of fox shooters stopped taking skins and the skill of skinning, a
nd preparing the pelts, almost died out.
But fox skin exporter Don McGilvray says renewed Chinese interest in fur is lead
ing the trade's recovery.
"I'm paying from $25 for the tops and the averages are anywhere from 13 to $16,"
he said.
Fishing industries set for restructure
Fishing industries in four regions across Australia look set for major change as
a result of a Federal Government buy-back.
The $220 million scheme closed last week and unofficial reports from industry so
urces suggest that up to half the fishermen in some areas have accepted the Gove
rnment's offer.
In New South Wales, the South-East Trawl Fishing Industry Association president,
Fritz Drenkharn, says eight out of 14 boats have put in tenders and if they are
all accepted it will have a big impact on processing plants.
"Oh well, restructuring on the shore facilities, the haulage contractors will al
so be sitting on the fence waiting to see what's happening in relation to their
business, Mr Drenkharn said.
"In the on-shore facilities there's a real lot riding on the line."
Meanwhile, there should be more prawns for Christmas this year, with news that 6
60,000 baby tiger prawns have survived a cold spell in the far north of Western
Australia.
The Kimberley Prawn Company was concerned their post-larval stock had died a for
tnight ago, when water temperatures dropped in the tank.
Owner Ian Crimp says it now proves the region is suitable to harvest throughout
the year.
"[It] now means that we have the ability of cropping all year round at Derby, wh
ereas parts of Australia they can only crop prawns during the summertime," Mr Cr
imp said.
Grain farmers' future looks bleak
Many Victorian grain farmers are still very depressed about the outlook for the
season.
In western Victoria, the local water authority, Grampians Wimmera Mallee Water,
says the winter channel run may even have to be cancelled for rural home dams be
cause they are only 6 per cent full, the lowest level ever recorded for this tim

e of year.
Grain and sheep farmer Bernard Gross from Drung Drung says if winter rainfall do
es not return to normal, the future will be bleak.
"My family have been here since 1873. But I have been told that the early 1900s
were also particularly dry," Mr Gross said.
Frost-tolerant crops a possibility: scientists
Scientists believe grain growers could one day be able to sow frost-tolerant cer
eal crops.
The Australian Centre for Plant Functional Genomics in Adelaide is studying the
genes of Japanese barley, which has frost-tolerant properties.
Frost damage is believed to cost South Australia's and Victoria's barley industr
ies more than $30 million per year.
Professor Geoff Fincher says this research could eventually have applications fo
r other crops.
Dried mangoes head to E Timor orphanages
Children in orphanages across the capital of East Timor will be chewing on North
ern Territory 'mango leathers' this month.
Kakadu Dried Fruits, based at Batchelor, has donated 500 packets of dried mango.
Owner Doug Allsopp says he has more to offer as food aid, if the first batch is
well received.
"We had an excess of this product [and] because our product doesn't contain any
preservatives or additives, it doesn't have an indefinite shelf life," he said.
"Rather than allow the product to go to waste we thought that people in East Tim
or could probably put it to good use.
Swimmers avoid crocs in lake record attempt
Six Sydneysiders swam into the record books over the weekend, crossing Australia
's largest man made lake in Western Australia's Kimberley region.
Their efforts crossing Lake Argyle raised $80,000 for the Royal Flying Doctor Se
rvice.
Swimmer Jon Attwater, from Balmoral, says it took them 19 hours over three days
and thankfully they did not spot a crocodile through their goggles.
"We didn't have any face-to-face confrontations which we were very glad of, Mr A
ttwater said.
"We do a lot of ocean swimming and we swim around in the sea with probably a lot
more sharks than we're ever likely to see crocodiles here, but we were very con
cerned about meeting up with a crocodile, we've only seen pictures of them in mo
vies and they don't look very nice."
Harnessing up the horse and cart increases in popularity
As the price of fuel rises, many people are turning to alternative modes of tran
sport.
They are dusting off their bicycles, putting on the sneakers, but what about har
nessing up the horse and cart?
A group of carriage drivers in Tasmania gets together once a month and it seems
interest in their hobby is on the rise.
Driver Wally McGlone says some members of the group have been braving the traffi
c and taking to the bitumen.
"We've got one man here and he's driven his horse down to what they call the rai
lway supermarket at Ulverstone and got his groceries, but I don't think his wife
was game enough to go with him but he went down anyhow," Mr McGlone said.
Council continues fight for skilled worker visas
The meat processing sector says it has not given up fighting for more skilled wo
rker visas to be processed, despite failing to get a commitment from the Federal
Government.
Abattoirs across Australia employ hundreds of foreign workers under the 457 visa
program to address labour shortages, but over the past four months the Immigrat

ion Department has delayed some applications.

The Australian Meat Industry Council will continue meetings with the Federal Gov
ernment this week.
The council's Kevin Cottrill says talks so far have addressed allegations that i
ndustry is misusing the program:
"There are a lot of allegations and a lot of them are not specifically related t
o the meat industry, and I think this is one of the difficulties we have at the
moment," he said.
"Our discussions with the department generally have been around issues of skill
levels that are required. There have been some discussions about pay levels but
these issues are really now covered by pay regulations."
AWB finalises deal with India
Wheat exporter AWB has finalised two deals to India, worth 1 million tonnes, aft
er many months of negotiations.
The first shipment was held up after claims of contamination by Indian authoriti
es which were later disproved by further testing.
The second deal, though reached in principle some time ago, has only now been fi
nalised.
AWB spokesman Peter McBride says the wheat will be shipped as soon as possible,
but farmers will bear the cost of the delays.
Forecast brings more heartache to farmers
There is another gloomy weather forecast for farmers who had been hoping for rai
n.
The latest climate forecast shows that the vast majority of Australia is likely
to receive less than average rainfall over the next three months, with the dries
t outlook of all in the grainbelt of Western Australia.
And in another blow to grain growers, temperatures are likely to be above averag
e, particularly in New South Wales and southern Queensland.
Dr Andrew Watkins, from the National Climate Centre, says warm sea temperatures
in the Pacific are to blame.
NFF announces meeting to resolve quarantine differences
The National Farmers Federation (NFF) says there is a lack of confidence in Aust
ralia's quarantine system and it has set up a meeting on July 14 to try resolve
differences between farmers and government.
The NFF says farmers and industry have a number of concerns with the way Austral
ia's quarantine system is working and say that communication between authorities
, and the farm sector, has broken down.
The July meeting will bring together industry and the Federal Government to try
and sort out the problems, including what the NFF calls a "loss of confidence" i
n quarantine and biosecurity.
But Kevin Cooper, from the NSW Department of Primary Industries, denies the syst
em is in trouble.
"Experiences in recent years has shown that the communication has been robust an
d sound," he said.
Milk processor explores merger option
One of Australia's largest milk processors has opened the door to a possible mer
ger.
Victorian-based Tatura Milk, which provides about 5 per cent of Australia's dair
y products, is undertaking a financial review after posting a $6 million loss be
fore tax last year.
Chairman Ian Bertram says all opportunities will be explored during the six-mont
h review.
"We haven't ruled out any possibilities, we've left it very open, we don't know
the outcome, we don't know the answer," he said.
Sheep farmer helps out cyclone victims

A Victorian sheep farmer has started a charity drive to help Queensland banana g
rowers whose crops were devastated by cyclone Larry.
Federation dismisses survey perceptions
Most consumers think the chicken industry is using hormones and steroids to make
their birds artificially large, according to a survey which the industry funded
.
The Australia Chicken Meat Federation says the perceptions revealed in its surve
y are untrue.
Executive director Dr Andreas Dubs says antibiotics are used to keep birds healt
hy, but it is good breeding and not additives that has caused the increase in si
ze.
"They were essentially thinking primarily of hormones and antibiotics, that's wh
at came up," Dr Dubs said.
Frost wipes out crops in WA
Horticulturalists in Western Australia are suffering an unseasonal frost, wiping
out a number of fruit and vegetable producers in the state's south east.
The estimated $4 million worth of damage will cause shortages and price rises.
Manjimup avocado producer Tony Fontiani says it is his second successive year of
seasonal setbacks.
"We've lost about approximately 90 per cent of our fruit we had 12,000 trays of
avocados on the trees and I think we'll be lucky if we pick a thousand to 1,500
trays," he said.
"It just means that we will have to tighten our belts and spend less and struggl
e through for another year but we're only just getting in to the situation where
we're producing a quantity of avocados, this was going to be our big year."
And frost could cut Australia's navel orange crop this season by 20 per cent, ac
cording to preliminary forecasts.
SAFF rejoins National Farmers Federation
South Australia's Farmers Federation (SAFF) is rejoining the national farming bo
dy.
SAFF withdrew its membership from the National Farmers Federation (NFF) three ye
ars ago because it could not afford the fees.
The NFF has negotiated a discounted rate to South Australia for the next two yea
rs.
SAFF's Carol Vincent says her organisation could not continue being independent
from the national body.
"I don't think it was affordable for the SAFF any more not to be a be a member o
f the NFF. Farming organisations can't afford for the future to be in competitio
n with one another they have to be working together, we think the future needs s
trong national representation as well as strong state representation," she said.
NFF chief executive Ben Fargher says the move will strengthen farmers' influence
in Canberra.
"To be frank it does hurt NFF's credibility if state farm organisations are not
members, so it is great that SAFF is coming back," he said.
Burning boat sends strong message to illegal fishers
An Indonesian fishing boat is being burnt in Darwin today - the 74th to be appre
hended in Australian waters this year.
Earlier this year, the Navy seized the 'Harapan', which is an Indonesian type th
ree ice boat, inside the Australian fishing zone boundary.
The 27 metre long boat could store up to 40 tonnes of fish, but this one was onl
y carrying about 50 kilograms of fish such as snapper aided by GPS navigation.
The Australian Fisheries Management Authority says these boat burnings send a st
rong message to the owners in Indonesia, that illegal fishing will not be tolera
ted.
It has been set alight in a boat burn pit at Hudson Creek, near the busy East Ar
m Port of Darwin and will take all day to burn completely. Any metal remaining w

ill be salvaged for cost recovery.

Gold mining company goes into administration
One of Western Australia's historic gold companies, Croesus Mining, has slipped
into administration, despite record gold prices.
Hartley's mining expert Rob Brierley says it is disappointing for the many small
shareholders in the Kalgoorlie-based Croesus and he is not sure whether the com
pany will survive the overhaul from the administrators.
"It's a bit sad really, 80 years of continous operations at Norseman, they'll to
continue to operate the mine, but obviously the company is going to be under fi
nancial duress," he said.
Meanwhile, a social divide is becoming evident in central Queensland where the c
oal mining boom is turning to gloom for many towns.
Attractive wages at Bowen Basin coal mines have enticed thousands of people from
around Australia, pushing rental prices in small rural towns to Sydney and Melb
ourne levels.
Marion Callow, from Clermont's Commercial Hotel, says a basic wage will not cove
r the rent any more.
"The contractors are coming into towns to work for the mines and then the mines
themselves are providing the cheap accommodation for their workers," she said.
Fox control program extended
The Tasmanian Government has extended its fox control program for another four y
ears.
The move comes after an independent report found foxes do exist in Tasmania and
immediate controls are needed.
Dingo wee proves successful in scaring off kangaroos
Perth-based researchers have stumbled on a successful, although unusual, way to
frighten kangaroos - dingo wee.
A team from Curtin University believes kangaroos recognise the smell of their lo
ng-time predator, the dingo and steer clear.
They hope to isolate the chemical, to create a product that keeps roos away from
crops.
Project manager Dr Michael Parsons says they first trialled the smell at a wildl
ife sanctuary and watched the kangaroos flee.
"She walked out of the bathroom with a tube of urine in an evaporative canister
and as soon as she got about five metres from them, they looked at her and immed
iately fled ... and this was a whole mob of them," he said.
Wild pigs may be spreading sugar cane disease, says farmer
Sugar cane smut has now been confirmed on more than 20 farms in south-east Queen
sland.
The fungal disease was discovered for the first time in Queensland two weeks ago
and the industry's exotic disease plant health plan is in force.
While there are now strict quarantine measures on the movement of people and pla
nts, cane farmer Bruce Royan says wild pigs may be spreading the disease.
"It's obviously blown in with the wind or somebody else has been driving around
the farm," he said.
Report highlights desire for change to wheat marketing
A new report on the future of wheat exports from Australia has backed calls for
changes to the single desk.
Single Vision Grains Australia, a government-funded body, surveyed 27 industry g
roups from growers to exporters and grain marketers.
Its conclusions mirror other reports about the future of wheat marketing - most
want to keep the single desk, but remove AWB's right to veto exports from other
traders and bolster the powers of the Wheat Export Authority.
But the Grains Council, which represents around 30,000 growers, says Single Visi
on should not have carried out the survey in the first place.

Chairman Murray Jones says the council refused to take part when approached.
"For them to say that they're the peak body for the Australian grains industry i
s absolutely incorrect," Mr Jones said.
"Their press release comes out saying the Australian grains industry's calling f
or changes to single desk policy, now who's calling for it, are they calling for
it?" he said.
Farm lobby group concerned over biosecurity laws
The New South Wales Farmers Association says it has found three major flaws with
Australia's biosecurity legislation.
The farm body commissioned barrister Tom Brennan to identify which laws might be
legally challenged, amid concern that communication between farmers and the Aus
tralian Quarantine and Inspection Service (AQIS) has broken down.
Chairman of the association's quarantine committee, Peter Carter, says Mr Brenna
n's advice has raised a number of concerns.
"The first one is that the import risk analysis has no legal status, which is qu
ite frightening and can be ignored by AQIS," Mr Carter said.
"Secondly, he found that there needs to be better definition of the way that the
minister consults with AQIS, or doesn't consult with them, but it needs to be d
efined in law because at the moment there is a big hole in the law over that."
Hendra virus horse death concerns vets association
The Australian Veterinary Association (AVA) says it is concerned about the handl
ing of the death of a horse in Queensland two weeks ago from the hendra virus.
The virus killed horse trainer Vic Rail and 17 of his horses in the mid 1990s.
McGauran backs livestock ID system
The Federal Agriculture Minister, Peter McGauran, has defended an audit of the N
ational Livestock Identification System.
The Australian Beef Association (ABA) says the audit ordered by Mr McGauran in r
ecent weeks, will not be independent, and will not solve problems inherent in th
e livestock traceback system.
ABA chair Linda Hewitt says there is no point checking the database is working,
if the accuracy of information entered at the property and meatworks level is no
t checked.
Mr McGauran says the audit will be both independent and comprehensive.
"I can only say that this will be an independent assessment by the government of
the day. The ABA is quite intemperate. They claim the NLIS is fundamentally fla
wed, not just the database," Mr McGauran said.
Drought forcing cattle evacuations from Channel Country
One of the nation's largest beef producers says it is moving nearly 1,000 head o
f cattle out of Queensland's drought-stricken Channel Country every week.
S. Kidman and Co produces beef for markets in Japan, the US and South-East Asia
on properties on the Georgina and Diamantina Rivers and Cooper Creek.
Chief executive Greg Campbell says a moderate flood earlier this year was not en
ough to stop destocking.
"Throughout the Channel Country at the moment we're about 50 to 60 per cent stoc
ked," he said.
Rain brings relief to WA farmers
There has finally been some rain relief in Western Australia, with falls along t
he western coast overnight.
Only marginal falls were recorded inland, with some grain growers faring better
than others.
"By 6:00pm last night I'd had 20.2 millimetres and then overnight another 7.5mls
, so for those few hours it was 27.7 and it's absolutely fantastic," John Willia
ms from Bindoon said.
"Just so great to see all this rain after all this time. Those that have been wa
iting for the rain will be able to put their crops in and those that have dry so

wn, this will help them along just great."

Garth Cowald from West Canna says he had 4.5 millimetres of rain last night.
"We haven't sown any wheat yet, getting a bit late now, the ground is too dry. W
e haven't had hardly any rain now for three months. We have sown lupins and oats
but it hasn't come up," Mr Cowald said.
"So with the costs now days, I think it's better to leave the seed and fertilise
r in the shed and the chemicals and just take it from there."
Low demand reduces NT pig market
Contract pig shooters in the Northern Territory are selling off their hunting do
gs because they do not have an export market this year.
More than 20 registered shooters around the town of Katherine cull hundreds of f
eral pigs during the dry season and ship the meat to Germany.
But this year demand and prices are so low, not a single pig will be going overs
eas.
Hunter Athol Schmidt says it is bad news for the environment, because without an
export market it is too expensive to hunt.
"At the moment the stuff that's coming out of Queensland and northern NSW is jus
t filling the pet food market," Mr Schmidt said.
"The prices down south they opened up at 60 cents per kilo, they tell me they've
gone to 80 but you're still flogging a dead horse.
Commissioner to investigate bushfire practices
Concerns about bushfire prevention and recovery measures in Victoria will be inv
estigated by the state's emergency services commissioner.
Commissioner Bruce Esplin has been meeting with farmers and other groups, who be
lieve not enough fuel reduction burns were done before the Grampians bushfires i
n January.
Mr Esplin says the report will assess what progress has been made since his repo
rt on the 2003 Alpine fires.
"I made a lot of recommendations in that report, 148 recommendations in fact, an
d I think it's time that we put out a report to the community about what's happe
ned, what's the progress on each of those recommendations, " Mr Esplin said.
Timbercorp branches out to compete with NZ imports
Agribusiness company Timbercorp is diversifying into the tomato business, in a b
id to compete with imports.
It is to spend $25 million building Australia's biggest truss tomato glasshouse
at Two Wells, north of Adelaide.
Chief executive Robert Hance says it will produce 5,000 tonnes of tomatoes for t
he domestic market, the same amount that is imported from New Zealand each year.
Qld farmers highlighting green thumbs
Queensland grain growers are introducing a set of environmental guidelines to sh
ow off their 'green' credentials.
Lobby group Agforce is collating a best management practice manual in the Fitzro
y Basin, in central Queensland, with plans to roll it out across the nation.
Spokesman Kym Bremner says they want to prove to the Government and urban Austra
lians that they are being pro-active and addressing problems.
"The uptake of zero till, while it's been fairly spectacular, is still something
that people need to work on," Mr Bremner said
Egg industry seeks to boost sales
The egg industry has launched a push to get more people eating eggs, after figur
es show Australia has the lowest rate of consumption of eggs in the western worl
d.
On average we eat 169 eggs each per year, a long way below the Japanese, who eat
350, or the Americans, who consume 260 eggs each.
James Kellaway from the Australian Egg Corporation also says that while Australi
ans are offered a wider choice of eggs, most are buying cage industry products.

"Just over 80 per cent of Australia's production is represented in caged eggs an

d that has a price point attached to it which is relatively lower than that pric
e point attached to barn-laid or free-range eggs," Mr Kellaway said.
Longest-running land claim now over
The longest-running land claim in the nation is being resolved today in the Gulf
of Carpenteria, 700 kilometres south-east of Darwin.
Just over 21,000 hectares across the Sir Edward Pellew Islands, is being officia
lly handed back to the Yanyuwa people, after 30 years of debate.
Many of the original claimants are not alive to see their dream come true, but 7
1-year-old Steve Johnson says the hand back provides an incentive for others to
move back onto traditional lands.
"It's good to see that we are getting our island handed back after so long. Ther
e has been a number of deaths in the Yanyuwa and [other] clan groups, 130 all up
in that time," Mr Johnson said.
"[But] I think it will make them feel a lot better, that they can move around mo
re freely in their own country.
"The only thing that would be a factor now is the cost of fuel, petrol, diesel s
tuff like that to get out there.
Grain Council agenda baffles ex-president
Former Grains Council president Keith Perrett says the peak body is losing the c
onfidence of growers and creating divisions in the industry.
Yesterday the council slammed a new survey calling for changes to the single des
k for wheat exports, saying Single Vision Grains Australia had no authority to c
onduct it.
Mr Perrett headed the Grains Council between 2001 and 2005, but claims it is now
failing to provide leadership.
He says he is baffled by its current agenda, which seems to be politically-drive
n.
"Certainly most growers that I speak to say 'what's going on here at the moment'
," he said.
"It's a bit beyond me as to why they would be taking that line, you know the eas
y answer is to say 'well it's a bit of patch protection', I'm not sure what the
outcomes are why they've come down the path they are.
"Certainly I'd be taking a different approach to the one that's being taken at t
he moment."
Corporation's decision may cost timber industry jobs
The timber industry says up to 2,000 jobs are under threat from the Australian R
ail Track Corporation's decision to use concrete rather than timber sleepers to
upgrade the Melbourne to Brisbane rail line.
The National Association of Forest Industries says saw mill operators were expec
ting to supply up to 400,000 timber sleepers a year for the next five years.
But the association's Catherine Murphy says they have now been told timber is no
longer required.
"It's not just along the Murray there but it's the north coast of New South Wale
s and I understand sleepers are also produced in Queensland and Western Australi
a," she said.
"This is a specific market that many of these saw millers have invested $10 mill
ion, for example, over the past two years in upgrading their mills specifically
to provide timber."
Farming practices blamed for looming mice plague
No-till farming practices and left over seed from last harvest are being blamed
for a looming mice plague on South Australia's upper Eyre Peninsula.
Surveys have shown more than 4,000 mice per hectare, the highest number since 19
95.
Unlike conventional seeding, sowing crops with the no-till method leaves one dis
tinct furrow for mice to follow and burrow into to eat grain.

Buckleboo farmer Jim Hamlin says the mice are just another problem when they are
already facing a cold, dry start to the season.
"Where some of the crops are up, they're chewing off leaves and in other places,
where the crops are not up, they've dug under the ground and got the grain as w
ell," he said.
Businesses suffer as dry conditions continue
Dry conditions on pastoral properties south-east of Alice Springs have taken the
ir toll on businesses which service the area.
It has been four years since the region has had any decent rain and stock feed i
s scarce.
Rodney Mingel, who runs Mingel's Heli Service, has grounded one of three helicop
ters this season and stood down a pilot.
He says mustering work has been halved, due to the lack of rain and lower stock
numbers.
"From now on through to September is really our busy period," he said.
"There's just not much happening, I mean people have done their work, work that
they normally do towards the end of the year they've done at the beginning of th
e year.
"Cattle numbers are down, so there's not six paddocks to muster anymore there's
one.
Murray River levels drop
There is concern about the state of the Murray River this winter.
River Murray Water says its storages are only 40 per cent full and has reduced r
iver flows to protect current levels.
With a lack of rain across the catchment as well, parts of the river between Mil
dura and Swan Hill are only waist deep.
Colignan citrus grower and river boat enthusiast Robert Mansell says the river i
s as low as he has seen it at this time of year.
"It's really, really interesting," he said.
Rain enables farmers to finish sowing crops
Welcome rain over the grain belt in Western Australia this week has many farmers
back out in the paddock to finish sowing crops.
The Western Australian Farmers Federation has surveyed its members and president
Trevor De Landgrafft says that for many, the season is a long way behind, after
one of the driest May and June periods on record.
"Forty per cent of the respondents have less than half of their crop in the grou
nd," he said.
"Half of those people don't have any crop in at all.
"Sixty per cent of respondents have got more than half their crop in and two thi
rds of that number somewhere between 80 and one 100 per cent.
"We're saying we think about half the crop that has been sown is out of the grou
nd."
Soft international demand blamed for drop in milk prices
Australia's largest milk processor has lowered the prices it will offer dairy fa
rmers this year.
The move by Murray Goulburn to drop prices by 2.9 per cent follows a 5 per cent
cut announced by New Zealand-based Fonterra.
The company's Ian MacAulay is blaming softer international demand.
Green light given to abalone farm
The first land-based abalone farm in New South Wales has been approved on the st
ate's mid-north coast.
Native abalone is under threat from poaching and aquaculture is seen as a way of
preserving numbers.
But local conservation groups fear the development could pollute coastal waters
and destroy seagrass beds.

Graham Housefield from Australian Bounty Seafoods says he has done everything he
can to deal with the concerns.
"I guess what it really comes down to is that the farm needs to have a pristine
area because we need water that's as clean as possible and therefore we can't af
ford to do anything to harm the water from that area," he said.
"These animals are absolutely and totally reliant on having clean water."
Flower growers surprised at banned-seed list
Cut-flower growers are calling for more time to comment on draft changes to seed
import regulations.
For the past two months, Biosecurity Australia has been reviewing the Permitted
Seeds List.
But tropical flower growers, like Alan Carle, say the review has caught many gro
wers by surprise.
"We are in a process, a review process to dramatically restrict the number of pl
ants and seeds which may be brought into the country in the future," Mr Carle sa
id.
"Effectively, it slams the door shut. We should all just band together and ask f
or a moratorium so we have time to consider and work in a constructive way with
Biosecurity Australia and Quarantine to come up with a system which we are all h
appy with and doesn't create some sort of black market.
"I mean that's the worst thing that can happen to this country is to get things
brought in without proper controls."
US cattle prices not expected to increase
US Agriculture Department officials say it will take years to recover from Japan
's mad cow-related ban on beef and producers there should not expect to see mass
ive price rises.
US Agriculture Department livestock analyst Ron Gustafson says Japan's expected
reopening of its market to US beef after it completes audits of US plants next m
onth, will not bring a huge upswing in US cattle prices.
Mr Gustafson says it will take years to sell pre-mad cow amounts of US beef to J
apan, which only buys certain cuts anyway.
"We don't sell whole carcasses to the Japanese or South Koreans, or anyone ... w
e sell cuts that, largely, we don't have the large demand for here in the US - s
hort ribs, plates and so-forth - the fattier items," he said.
Drug busting wasps still some time away
Wasps might be known for their bite, but their highly-tuned sense of smell could
make them the sniffer dogs of the future.
Trials are under way in the United States to train tiny wasps to detect chemical
s.
Dr Andrew Austin from the University of Adelaide says the idea is feasible and w
asps are quick learners, but he can not see them replacing dogs any time soon.
"They've been able to demonstrate that you can take these wasps and you can trai
n them to recognise that particular chemical," he said.
"It's a long way from that to actually using this particular wasp in a commercia
l sense, where you could actually use them as drug busting sort of wasps.
Hotline to help men cope with depression
The impact of the drought has prompted Beyondblue to establish a national hotlin
e specifically to help men deal with depression.
Chairman Jeff Kennett says men from country areas are more likely to suffer from
depression, but are less likely to admit the problem.
He says the helpline will provide information, treatment and where to get help.
"Unfortunately depression is very prevalent throughout rural Australia and parti
cularly among young men," he said.
"So what we hope with this Beyondblue information line is to give men the capaci
ty wherever and however isolated their environment may be for the price of a loc
al call to seek direction and help as to what to do in overcoming their depressi

ve illness."
The hotline number, which will be in operation from July 1 is 1300 224 636.
WA-based rural financial counsellor Sue Smith says farmers are traditionally bad
at managing stress and many cases are ignored.
She says one of the telltale signs is a change in behaviour.
"It's no wonder that people are feeling really stressed at the moment," she said
.
"The first sign is in the body, somebody will start to feel tired, they'll get h
eadaches, their body will start to ache.
"Sometimes it's other people that notice that they become quiet irritable, they
may withdraw from their family and friends.
WEA chairman's term extended
The chairman of the Wheat Export Authority (WEA), Tim Besley, will head the regu
lator for another six months.
Questions have been raised about the authority's effectiveness, in the wake of t
he AWB scandal.
Sheep chemical declared unsafe
Access to a chemical commonly used to treat flystrike and lice in sheep will be
severely restricted after tests showing it is unsafe.
The review of Diazinon was prompted earlier this year after farm workers complai
ned of headaches and in some cases vomiting when using the chemical.
Joan Ashton from the Pesticides and Veterinary Medicines Authority says other ch
emicals are more costly, but human safety is the priority.
"There's really no way you can mitigate what we think is an unacceptable risk to
workers," she said.
"Australia's not the only one looking at Diazinon, there's been a range of revie
ws that have been going on worldwide and it has progressively been discontinued
in other countries, as well, along similar lines and for similar reasons for con
cern, as we've identified here in Australia."
Ag pilots dispute crash statistics findings
New research from the Australian Transport Safety Bureau (ATSB) says agricultura
l pilots do not get enough training and are overly represented in crash statisti
cs.
The research, which looked at wire strike accidents where planes hit power lines
or other wires, found 65 per cent of low level flying accidents happened in far
ming.
Head of the Aerial Agricultural Association, Phil Hurst, disputes the findings a
nd says the industry has improved its safety record.
Economic forecaster criticised for livestock price estimates
The Australian Bureau of Agriculture and Resource Economics (ABARE) is again und
er fire for its forecasts, this time for livestock prices.
Analysts say meat price estimates are probably too low, while production forecas
ts for beef and lamb are too high.
Bill Cordingley from Rabobank says the beef figures have not taken poor seasons
properly into account.
Foster's to sell two wineries
Foster's is set to sell two of its wineries, including the iconic Barossa Seppel
tsfield Winery in South Australia.
Also on the market is Rosemount's Denman site in the Hunter Valley and most of i
ts Penfolds site at Nuriootpa in the Barossa Valley.
Honeymoon mine proposal meets more opposition
The proposed Honeymoon uranium mine near Broken Hill has been met with more oppo
sition, with submissions on the project closing today.
Friends of the Earth says the South Australian Government will be going back on

an election promise if it allows the mine to go ahead.

Anti-nuclear campaigner Joel Catchlove says the mine is a risky, short-term oper
ation.
"By supporting it, it puts the Rann Government in quite a difficult situation. B
ecause as there simply isn't a mine at Honeymoon at the moment they're both thre
atening to break their binding SA platform for government and also it goes again
st their election promises," he said.
"If you've got a four to six years of operation yet it could be permanent ground
water contamination in that area."
Mining company hopes to set up rare earth mine in NT
A Northern Territory mining company hopes to have a rare earth mine up and runni
ng within five years.
The rare element is a key ingredient for new technology including computer scree
ns, rechargeable batteries and environmentally-friendly hybrid vehicles.
Arafura Resources has already found an 18.6 million tonne deposit about 130 kilo
metres north of Alice Springs, but managing director Alistair Stephens says they
hope to find more in coming months to meet growing demand.
Tax Office focuses on timber plantation records
Companies involved in managed investment schemes are under pressure to get crops
in the ground before midnight to meet end of financial year deadlines.
Staff from the Australian Tax Office have been hovering around timber plantation
s in the far north of Western Australia to confirm paddock plantings match the a
ccounting books.
Tom Cullity from Tropical Forestry Services says his company had a last minute s
care with the Tax Commissioner at the door and the discovery that two hectares o
f indian sandalwood was not accounted for.
"Bearing in mind that the Tax Department was coming up today we thought really w
e'd better do something," he said.
"I came up and had a look at it and there was obviously a gap there, and said 'h
ey boys what are we going to do about this' and they all said unprintable words
and off we went.
Shareholders show support for dairy group
Shareholders have voted down a push to disband Western Australia's only represen
tative dairy group.
A resolution was put forward late last year to dissolve the organisation, amid c
laims it had failed to have an impact on the struggling sector.
Following yesterday's vote, director Jim Fremantle says there now needs to be an
overhaul of the processing sector.
Rice market regulation ends
Regulation of the domestic rice market will end tomorrow.
Until now all rice grown in New South Wales has had to be sold through the singl
e desk held by Sunrice or the Ricegrowers Co-operative.
Frost damage may push up avocado costs
The price of avocados could be set to rise, with significant frost damage to cro
ps in the Murray Valley.
Freezing conditions a fortnight ago has caused fruit to drop off the trees.
John Eastoe from Mildura Agricultural Contractors says he has lost 60 per cent o
f his crop, which had an estimated valued of more than half a million dollars.
"We were sitting on probably our best has crop ever, we've been lifting our yiel
ds for the last three years but as you can see it's all on the ground," he said.
Katherine School of the Air celebrates anniversary
There will be big celebrations in the Top End town of Katherine tonight, as the
School of the Air marks its 40th anniversary.
These days the school serves 220 students.

But in 1966 the first teacher in charge, Ron Smith, began with eight students on
HF radio.
"It really made me realise that so much depends on the family," he said.
"They need a tremendous amount of encouragement and support. It worked and I was
talking to a family in Darwin and their lad was one of the early students, and
they have gone on and travelled overseas and studied overseas.
Mail contractor finally quits 400km mail run
It is a bittersweet day for one outback mail contractor,
After almost 40 years of servicing properties in south-west Queensland, Cecil Ru
ssell is retiring
Since 1968 Mr Russell has been making the 400 kilometres round trip from Augathe
lla to Carnarvon Station twice a week and says the scenery is the best part of t
he job.
"I love the country up there and that's probably why I've been doing it so long,
it's a for ever changing sort of thing, seasons change and yes there's a lot of
wildflowers at times," he said.
"Every day you get to see a different mob of brumby horses, see quite a few wild
dogs and I enjoy just looking at the cattle as I go and that sort of thing.
Rock lobster fishermen to hang up pots
Rock lobster fishermen in Western Australia will today pull their pots for the l
ast time this season.
Most believe this year's catch was down slightly, but prices are the best they'v
e seen in years.
Dongara fisherman Greg Cole says he will enjoy his break over the next four mont
hs.
"We're finishing on $32 a kilo which is a lot better than how we started," he sa
id.
Rodeo circuit veterans set for reunion
Some of the nation's golden oldies of the rodeo circuit are heading for a reunio
n
in western Queensland this weekend.
Veteran bull and bronc riders will meet in Injune, north of Roma, to celebrate t
he town's return to the professional rodeo circuit for the first time in 33 year
s.
While they will not be competing, local association president Murray Douglas say
s they will be enjoying a beer and a catch-up.
"They're coming from all over Australia and they'll be telling a few old stories
no doubt about how they used to do it," he said.
Third dairy company announces milk price reductions
Victorian dairy processor Warrnambool Cheese and Butter company has become the t
hird dairy company to announce a drop in its opening prices for milk.
Processors Bonlac and Murray Goulburn announced price reductions for their suppl
iers earlier this week.
Retiring wine group head predicts industry turnaround
The retiring chairman of the Australian Wine and Brandy Corporation is predictin
g a turnaround in the wine industry within the next four years.
David Brownhill steps down today after six years in his government-appointed rol
e.
With grape growers struggling with poor prices and an oversupply, Mr Brownhill d
oes not, however, expect much improvement in the short term.
"I believe in two years' time the light will start to shine at the end of the tu
nnel, [it] doesn't mean that it's coming out of the tunnel in two years' time, b
ut in four years' time I believe that you'll be right out of the tunnel and then
you'll most probably find we'll be a little bit short of red wine for example,"
he said.

Food safety standards need continual improvement, say scientists

The safety of the food that we eat is emerging as a crucial global trade issue,
which can open or block access to markets.
Scientists at the Australian Food Safety Centre say the three main concerns are
chemical residues, foreign items in prepared foods and pathogens such as bacteri
a and viruses.
Professor Tom Ross says pathogenic outbreaks occur at all levels of the food cha
in from the paddock to the plate and growers, and processors, need to continue t
o improve safety standards.
He says E. coli bug in the 1980s is an example of how potentially fatal contamin
ants continue to evolve.
"Twenty years ago that organism had never been seen before," he said.
AWB vows to fight any kickback lawsuits
Wheat exporter AWB says it will fight any legal action launched by American farm
ers in the wake of the oil-for-food scandal.
Reports suggest the company could face a billion-dollar lawsuit claiming US whea
t growers lost trade with Iraq when AWB paid almost $300 million in kickbacks to
Saddam Hussein's regime.
The ABC understands the initial case may cover just 20 or so farmers but has the
potential to see thousands of US and Canadian farmers join them.
If the action is successful, it could see AWB forced to make a payout triple the
value of the kickbacks.
But US Wheat Associates knows nothing of the proposed legal suit at this stage.
AWB spokesperson Peter McBride says AWB would fight any such legal suit.
"Such actions are ill-conceived and if any action is formally brought against AW
B we will vigorously defend," he said.
The ABC understands that it is hard to argue the case that US farmers were hurt
by AWB kickbacks, because the US had sanctions against trading with Iraq.
Single desk challenge
AWB has challenged the growing number of proposals calling for changes to the si
ngle desk export system.
National wheat pool manager David Johnston has told a public debate in Victoria
that AWB will accept the outcome from the oil-for-food inquiry.
But he says if AWB's export monopoly or its veto over grain export applications
is removed, wheat growers will be the losers.
"The bulk veto, I think, is a core component of the single desk as we know it an
d if we have people wanting to send wheat into Indonesia or Malaysia or any of o
ur core markets you'll have Australian wheat competing with Australian wheat," h
e said.
Electoral boundary change bad for voters: Anderson
The National Party has accused the Australian Electoral Commission of taking the
easy way out, by scrapping the federal seat of Gwydir in northern New South Wal
es.
With a shift in population, New South Wales is required to lose an electorate to
accommodate a new seat in Queensland.
The commission wants to merge the seat of Gwydir with Parkes, which will cover a
lmost half the state.
But the retiring Member for Gwydir, former deputy prime minister John Anderson,
says the move is a tragedy for country voters.
"I think it's appallingly bad to see people face the prospect of being in a seat
that's over twice the size that it is now which makes it far harder for people
to access the local member," he said.
"This means one less country voice in Canberra and a lesser chance still of bein
g represented around the Cabinet table.
NFF 'lives in hope' of trade talks breakthrough

The National Farmers Federation (NFF) is confident there is still life in World
Trade Organisation (WTO) talks, despite another failure to reach agreement on ag
riculture over the weekend.
United States and European negotiators went into the talks saying they were prep
ared to move on farm reforms.
However, negotiators in Geneva say those nations have failed to match their rhet
oric with action.
An agreement on agriculture is the crucial first step in securing broader trade
deals around industrial goods and services.
Trade policy manager with the NFF, Scott Mitchell, says while it is been a frust
rating process is not over yet.
"WTO is the main game," Mr Mitchell said.
"We live in hope that ministers will go home and reflect on what's happened here
this week and will realise that we do have a narrow window of opportunity to ma
ke global trading rules better for a long time.
Cold start to winter cuts rainfall
The freezing start to winter across southern Australia could be causing the ongo
ing dry weather conditions.
In normal years, cold air from the Southern Ocean collides with warm air from ce
ntral Australia resulting in cut-off lows, which bring rainfall.
But this year, the systems are not as strong.
Dr Peter McIntosh, from the Marine Atmospheric Research Centre, says that is bec
ause it is colder inland.
"We've speculated a little bit recently about what might be causing these cut-of
f lows to decrease in intensity," he said.
"We think it is a decrease in the north-south temperature gradient.
Coroner blames bushfire on powerline
An electricity provider in New South Wales has been blamed for causing a major b
ushfire in the state's central west two years ago.
The deputy state coroner has found the fire started near Parkes, when a tree tou
ched a Country Energy powerline.
The 2004 fire burnt 6,000 hectares, causing the death of 690 sheep and the destr
uction of thousands of hectares of unharvested crops on 28 farms.
Craig Ward says he is relieved the four-day inquest quashed rumours that his far
ming machinery sparked the blaze.
"I just gave evidence that I wasn't in the vicinity of where the fire started,"
he said.
"Through the GPS system on the harvester it plots every two seconds where the ha
rvester has been over the period of time your harvesting."
Mr Ward says he was frustrated by the approach of Country Energy to the trial, w
hich tried to prove his harvester sparked the blaze.
Ord River Irrigation Scheme expansion approved
The long-awaited second stage development of the Ord River Irrigation Scheme in
Western Australia's far north has been given the green light.
Tenders have been called by the WA Government, which has settled environmental a
nd native title issues surrounding the development.
The expansion of the Ord River Irrigation Scheme will make 16,000 hectares of ir
rigated farmland available.
The Government says it is seeking expressions of interest for development of bet
ween 7,000 and 16,000 hectares of land.
Resources Minister John Bowler says land could be available for planting as soon
as 2008.
"We believe we can quadruple the amount of hectares placed under agriculture in
irrigation," he said.
"This will make the Ord Valley one of the most significant agricultural areas in
Australia."

Nurse practitioners scheme upsets doctors

Rural doctors in Tasmania claim they are being devalued by the introduction of n
urse practitioners in remote areas.
Following the lead of other states, the Tasmanian Government will allow nurses t
o prescribe drugs and undertake some of the traditional tasks of doctors to fill
shortages.
But the president of Rural Doctors Tasmania, Eric Calquoun, says nurses should r
emain an integral part of GP-led health care teams and not be allowed to practic
e independently.
"I think this is the thin edge of the wedge with this," he said.
"We're talking about prescribing major drugs, the Poisons Acts regulations are b
eing modified so they can prescribe morphine for palliative care nurses.
Managed investment schemes under review
Concerns are emerging over the shift in managed investment schemes (MIS) from fo
restry and vineyards to broader agriculture.
Plantings of walnuts and avocados are among those now being offered to investors
.
Rob Dalton, from Avocados Australia, says he is concerned by the push, which cou
ld massively distort the market.
"Reviews of MISs have indicated that the investors are in there primarily for th
e tax deduction and they have much less concern with profitability at the end of
the project," he said.
"Whereas the normal farmer is in there for a profit and a long-term, sustainable
profit.
Federal Agriculture Minister Peter McGauran is also concerned about the impact o
f MISs.
"When they start going into wine grapes and citrus and avocadoes where there is
well-established Australian industries, that is of enormous concern," he said.
WA farmers back single wheat desk
The Western Australian Farmers Federation has called for the single desk wheat m
arketing system to be kept, even if AWB does not operate it.
Despite claims it is not a policy turnaround, it is the first time the federatio
n has appeared to have reservations about AWB's future management of the single
desk.
President Trevor de Landgrafft says the power of veto must stay with the single
desk, but who manages it has come under scrutiny.
Feedlot demand outstrips grain production
Queensland feedlot owners are being told they may have to buy grain to feed catt
le from Western Australia, if local production does not increase.
The Department of Primary Industries says demand for feed grains like barley, so
rghum and wheat is expected to outstrip local supplies five out of every 10 year
s.
Kym McIntyre says feedlots already consume about 2 million tonnes of grain a yea
r, with a further 1 million tonnes likely to be needed over the next five years.
Feral pigs destroy Ingham crops
Farmers in north Queensland say they are being overwhelmed by feral pigs.
Ingham cane farmer Tony Palmas believes the devastation of cyclone Larry could h
ave forced many pigs out of their usual haunts to find food.
Mr Palmas says he has lost crops worth up to $20,000.
He says shooting the pigs is not working and there is no fruit available to use
in traps.
"We used to get bananas from north like Innisfail and Tully but for the moment t
here's no bananas coming from there and there's no mangoes or anything like that
," he said.
Locust fears prompt chemicals buy-up

Following warnings Western Australia is facing a huge locust plague this spring,
the State Government has allocated more than $3 million towards the purchase of
chemicals to control plagues.
Minister for Agriculture Kim Chance says if untreated, locusts could cost the st
ate more than $100 million.
It is thought big summer rains have contributed to heavy egg laying this year.
Mr Chance says farmers have to prepare for major damage.
"It's not, in terms of area, quite as big as the spring 2000 infestation was, wh
ich covered about, looks to me on the map, two to three times the areas," he sai
d.
VegMachine gives farmers eye in the sky
Landholders across the northern rangelands of Australia can now use satellite mo
nitoring to keep track of environmental changes on their properties.
The new system, which is called VegMachine, has been trialed across 80,000 squar
e kilometres in Western Australia, the Northern Territory and Queensland.
NT Government researcher Luke Peel wants to see the free computer software progr
am used more widely.
"It gives you a birdseye view of the property," he said.
"The idea is the mystery of satellite imagery, what it can say and do is being e
xposed back.
"It still hasn't got to the point where we can actually work out kilograms per h
ectare on the ground.
"But, it certainly gives an idea of how productivity can be related to use of th
e resources or trapping of the resources available.
"Whether it's the actual vegetation, the soils or the nutrients in the soil."
Lachlan CMA outlines tender process
The Lachlan Catchment Management Authority (CMA) has outlined how the tender
cess will work for part of its latest round of incentive funding. The latest
nd opened last month and will close at the end of this month. Kieran Hawker,
m the Lachlan CMA, says the tender process will bring a positive outcome for
environment and producers.

pro
rou
fro
the

Crop growth slow across the region

The district agronomist with the Department of Primary Industries, Jan Edwards,
says frosts in Cowra have seen germination of wheat and canola crops slow down.
Ms Edwards says weeds will be a big problem as a lot of crop was dry sown and so
weeds will emerge with the crops. This will be similar to last year.
Truck hits mob of sheep
A warning to motorists across the region. A truck hit a mob of 5,000 sheep near
Condobolin, killing 15 lamb wethers yesterday morning. Police say the drover was
moving the stock on the West Wyalong Road south of Condobolin when they were hi
t by the concrete truck. Police says it is believed the truck driver did not tak
e notice of stock moving signs. The driver is to be issued with an infringement
notice for failing to give way to stock.
Draft chicken meat import ruling worries industry
The chicken meat industry says a decision to allow imports into Australia could
pose an unnecessary risk to consumers.
In a draft import risk analysis, Biosecurity Australia recommends allowing uncoo
ked chicken meat into the country, as long as exporting countries can prove they
are free of diseases, including bird flu.
But Dr Andreas Dubs, from the Australian Chicken Meat Federation, is questioning
whether Australia can be certain about another country's disease status.
"That is not a simple matter," he said.
"It really comes down to the confidence that we can have with the systems in pla
ce which in the past I suppose has been shown to be somewhat questionable."
While Australian quarantine officers usually double-check disease free claims fr

om other countries, some say that is not always a guarantee.

Peter Scott, from the Australian Veterinary Poultry Alliance, says authorities r
ely on getting accurate information from producers.
"Regulatory authorities can only go on the information provided to them and in s
ome cases that may not be accurate," Mr Scott said.
"We do see overseas quite a bit of product moving through countries.
"In other words, while you believe you're getting product from a particular coun
try it may be coming in via another country."
Animal-based fertilisers threaten BSE status: vet
Tasmania's chief vet says Australia's status as being free of mad cow disease (B
SE) could be threatened by the indiscriminate use of animal-based pasture fertil
isers.
A number of cattle deaths from botulism in Tasmania have been attributed to the
use of poultry litter as a fertiliser.
Dr Rod Andrewarthur says although it is a legal product, the litter must not be
used before the end of the official withholding period to ensure cattle do not i
ngest any lingering animal protein.
He says under BSE protocols, no animal protein can be fed to cattle.
"We sell our meat to the world as a premium because we are free of diseases like
mad cow disease," he said.
"We are under audit from other countries like the European Union to make sure th
at we've got all the checks and safeguards in place prevent the development of t
he disease.
Processing delays force saleyard's NLIS overhaul
Processing delays of up to 24 hours have forced Australia's biggest saleyards to
overhaul its National Livestock Identification System (NLIS) infrastructure.
With 11,000 cattle on offer today, new in-pen scanning is being put to the test
at the Roma Saleyards in Queensland.
A year after NLIS became mandatory in the state, the saleyards' board is scrappi
ng two run-through scanners worth $270,000.
While they read tags with 99 per cent efficiency, large volumes of cattle mean e
ven minor misreads could cause huge disruptions.
Brisbane-based company Livestock Link has been contracted to pick up any missing
tags and non-reader tags more efficiently, by pre-scanning cattle before sales
in pens.
Ethics campaigners push for teminator gene ban
Gene ethics campaigners are lobbying the Federal Government to ban the developme
nt of terminator technology in Australia.
The process would stop seed from breeding naturally, forcing farmers to buy new
stocks each year instead of growing their own.
More than 10,000 people have signed a petition claiming genetic engineering comp
anies will have monopoly power if the technology is introduced.
The Government has said it will accept development applications on a case-by-cas
e basis.
However, Bob Phelps from the GeneEthics Network says that is not acceptable.
"There's clearly strong public sentiment that the terminator is not acceptable,"
he said.
"We're submitting those petitions to the federal Agriculture Minister Peter McGa
uran and we're saying to the Australian Government we want you to align the Aust
ralian Government policy with the global view that it's unacceptable and that th
e global ban on terminator should remain."
VFF pushes for single wheat desk changes
The Victorian Farmers Federation (VFF) has joined growing calls for changes to t
he single desk for wheat exports, in the wake of the oil-for-food Inquiry.
Under its plan, wheat exporter AWB Limited and AWB International would be split,
with international wheat sales returned to farmer control.

The VFF will seek endorsement for the proposal from the Grains Council of Austra
lia later this month.
VFF grains group president Ian Hastings says the plan addresses concerns about g
overnance of the system, and payments to growers from the national wheat pool.
"We're talking about separation of AWB International and making sure that AWB In
ternational continues to have the legislative monopoly for exports of wheat," Mr
Hastings said.
Fodder exports demand raises local prices
A booming export fodder market is good news for growers but farmers looking to f
eed livestock in Australia are facing high prices and short supply.
Lucerne prices have almost doubled since November to around $300 a tonne, while
hay prices are up between $30 and $40 a tonne.
Colin Peace, from the Fodder Industry Association, says drought in the US and Ca
nada is helping to boost exports, at the expense of the domestic market.
"Those two markets often clash for supply so I think you could anticipate that c
ertainly continuing," he said.
"There are always opportunities for stocks that are destined for export to be di
verted for domestic demand.
AWGA seeks unified wool industry vision
There are calls today for a single vision for the wool industry, uniting researc
h, development and commerical operations to pull it out of the current slump.
The Australian Wool Growers Association (AWGA) says the industry's four main bod
ies - Australian Wool Innovation, Australian Wool Services, the wool testing aut
hority, and wool exchange - are too inward-looking and duplicate services.
AWGA chairman, Martin Oppenheimer, says industry leaders should follow the lead
of the sheepmeat industry, which turned its fortunes around with a strategic pla
n 10 years ago.
"We've got many different grower-owned or funded companies and they're all headi
ng off in their own directions," he said.
"They've got different strategies.
Truck crash prompts stock movements warning
Police in New South Wales are warning drivers to be more careful on country road
s, after a crash involving a cement truck and a mob of 5,000 sheep.
The mob was being run along a stock route in the state's central-west.
Detective Senior Constable Andrew McGrath says police believe the driver ignored
stock warning signs.
"A vehicle travelling on a road about 15 kilometres from Condobolin collided wit
h a mob of sheep that were being driven along the road, with 15 fatalities," he
said.
"The driver of the truck I believe will be issued with an infringement notice fo
r failing to give way to stock.
"Because the conditions have been so dry there are a lot of mobs moving around o
n the roads so people should be wary when they are travelling on country roads.
Nullabor pastoralists granted rent subsidies
Pastoralists on the Nullarbor who are suffering through drought conditions have
been offered a sweetener by the West Australian Government.
They have been told they are not eligible for exceptional circumstances funding,
but the Government will contribute $80,000 towards pastoral lease rents and agr
iculture protection rates.
Pastoralist Rod Campbell says the money is welcome but pastoralists still believ
e they should be eligible for EC funds.
"We're mystified about the criteria etc but I think the Minister's addressing th
at very nicely," he said.
Inquiry likely to recommend geosequestration: researcher
Researchers believe a federal Parliament inquiry will help find funding for more

projects to stop greenhouse gases from coal, oil and gas fields entering the at
mosphere.
The House of Representatives Science and Innovation Committee will investigate t
he benefits and risks of geosequestration, which is capturing carbon dioxide fro
m mining and storing it underground for millions of years.
Trials are being carried out in Victoria's Otway Basin and off the Western Austr
alian coast.
Dr Peter Cook, from the Co-operative Research Centre for Greenhouse Gas Technolo
gies, says studies are making progress.
"We're very confident that that inquiry is going to endorse the use of this tech
nology as one of the options for decreasing CO2 emissions," he said.
Wine grape ethanol trial under way
A 12-month trial producing ethanol from wine grapes has begun in South Australia
.
Tarac Technologies in the Barossa Valley currently distills alcohol from winery
waste.
The company will supply South Australian Farmers Fuel with 100,000 litres of bio
fuel over the next 12 months.
Spokesman Chris Zajac says it remains to be seen if the process can be economica
lly viable.
"The reason we've decided to run the trial is to basically see how it performs a
gainst other ethanols in the marketplace," he said.
Hayes to head international wine body
An Australian has been named president of the peak international body representi
ng winemakers and grapegrowers from 42 nations.
Peter Hayes will head up the International Organisation for Wine and Vine for th
e next three years.
The organisation sets industry standards and regulations for all member countrie
s
Mr Hayes, a director and former chief executive of the Grape and Wine Research D
evelopment Council, says he was taken aback by his appointment.
"I find it a bit surprising quite frankly, but I think it is a sign of the times
," he said.
Consumers switch to Homebrand products
New figures show Homebrand products like milk, sugar and butter already account
for more than 50 per cent of sales through the major supermarkets.
Frozen and canned Homebrand vegetables and dried fruits are also becoming more p
opular, according to research by accountancy firm KPMG.
Food processors are starting to feel the pressure, as supermarkets aim to fill o
ne-third of their shelves with their own labels.
KPMG's Adrian Arundell says the processing sector will shrink, as other brands d
isappear.
"Some of them are fighting head on against it, some of them are actually working
with it," he said.
Tin mill's closure to force can imports
In a further blow for the manufacturing industry, tinned fruit and vegetable pro
cessors will have to import cans from next year, after the closure of Australia'
s only tin mill.
High iron ore prices have lead BlueScope Steel to shut its Port Kembla mill.
That will force canneries to either import tin or look for alternative packaging
.
The head of the Food and Grocery Council, Dick Wells, says increased costs are p
utting manufacturing under a lot of pressure.
"People need to be aware that it's tough all the way and there's no easy life he
re," he said.
"If we're not innovative in this country in looking for ways to take costs out o

f the structure and produce products that consumers see additional benefits in,
then there won't be a future."
Organic farmers eye overseas markets
The United States, Europe and South-East Asia are potential markets for Australi
an-grown organic products, according to a report launched last night.
The report by the Rural Industries and Development Corporation looks at the demo
graphics of consumers, and what drives them to buy organic food.
Andre Leu, from the Organic Federation of Australia, says in the long-term, Chin
a will be a major market, although Australia will struggle to compete with its d
omestic production.
"The latest figures that we have from China show that their industry is worth $U
S8 billion, which makes them one of the largest organic markets in the world," h
e said.
Farmers dispute Costello's federalism reform plans
The New South Wales Farmers' Association is backing Federal Treasurer Peter Cost
ello in his criticism of Australia's three-tiered system of government, but does
not agree with his plans to change it.
Mr Costello has triggered national debate on federalism, by wanting to wrestle a
ll responsibility for utilities and the economy from the state governments, redu
cing them to branch offices.
Mal Peters, from the association, says giving more power to Canberra is not the
answer, and is calling for full-scale reform of Australia's system of government
.
"Any further centralisation of power into New South Wales is not good," he said.
"I mean the closer the government gets to the people the better the government i
s, and that's well recognised by all players in the state and federal spheres.
'Iron Boomerang' plans onshore iron ore processing
The resources sector is investigating a $55 billion proposal to process iron ore
in Australia from 2011.
The 'Iron Boomerang' would be a privately-funded 3,000 kilometre railway to link
iron ore deposits in Western Australia with coal fields in north Queensland's B
owen Basin.
Blast furnaces to be build at either end of the tracks would produce pig iron fo
r the export market.
An international trade delegation is touring the town of Bowen today to investig
ate the project.
Shane Condon, from Project Iron Boomerang, says supply chain savings alone could
be worth $2 billion per year.
"When trains run empty and ships are coming back from China, or in the Pilbarra,
or in the coal fields of Queensland, the return trip for these giant empty trai
ns and ships is 45 per cent of the total trip cost and that is highly inefficien
t and using fuels unnecessarily," he said.
City vet students try country practice
Veterinary students in Western Australia have traded the dogs and cats of city p
ractices for a stint on a remote cattle property in the Pilbara region.
About 1,600 kilometres from Perth, Warrawagine Station is a long way from home f
or two vet students, who have never done any work with cattle before.
But student Kate Louden says six weeks on 1 million acre station is a unique exp
erience.
"I didn't realise quite how isolated the station is - 300 kilometres from the ne
arest shop," she said.
"We've been mustering so we've been moving the yards and drafting the cattle fro
m different blocks.
"[We've] been up in the plane and the chopper a few times so it's been great.
Trucking industry looks to recruit foreign drivers

The trucking industry wants to start employing migrant workers, as driver shorta
ges and an ageing workforce continue to cause problems.
Current skilled migrant visas do not allow for truck drivers but the Australian
Trucking Association (ATA) is confident it can get the industry reclassified as
a skilled occupation.
The ATA's Damien MacFarlane says it is a worldwide problem, and Australia will f
ace competition from other countries hoping to recruit drivers.
"You'll find the United States and the United Kingdom are currently facing the s
ame challenge," he said.
"There's many drivers being poached from Australia and have gone to either the U
nited Kingdom or the United States to drive.
"It's fine to say let's go and get migrant drivers, where are you going to get t
hem from? And that's going to be the challenge."
Dry conditions see live sheep exports jump
Dry seasonal conditions in Western Australia have seen a massive jump in live sh
eep exports from Fremantle.
More than 330,000 sheep were shipped out last month alone.
John Edwards, from the WA Livestock Exporters Association, says there is a direc
t link between the increase and the weather.
"I guess farmers have sort of looked ahead of themselves as to availability of f
eed stocks on farm and very little paddock feed," he said.
"They've most probably made the decision to sell sheep early.
"Possibly we've seen a lot of sheep come out now rather than in the spring when
they traditionally shear and sell off shears."
Meanwhile, easing cattle prices in the east are providing northern WA producers
with competition in the live export trade.
Tony Cooling, from Landmark in Broome, says Queensland producers are now selling
stock overseas.
"Queensland prices have come back a bit, so live export is now competing with th
e domestic market over there," he said.
'Beef only' cattle granted entry to Qld
Queensland has opened its borders to cattle from Victoria and the BJD control zo
ne in New South Wales, as long as it's classed as "beef only".
The state had previously banned cattle due to concerns over the disease bovine J
ohne's.
Cattle which have not been run with dairy cows for five years, or grazed on land
which has run dairy cattle within 12 months, will meet the classification.
Michael McCormack, from the Cattle Council, says it's a successful outcome.
"Especially for southern producers it's a good news story," he said.
Canada continues mad cow tests
Canadian authorities are continuing tests on a suspected sixth case of mad cow d
isease (BSE).
The cow was born before feed bans were put in place in 1997, and was discovered
under new surveillance programs.
Final tests are due next week.
Frost hits Riversun's US exports
A company exporting citrus fruit to the United States says shipments are likely
to drop 20 per cent this season, due to frost damage in the Murray Valley, River
land and Riverina.
Riversun chairman Peter Walker says supermarkets in the US are aware of the dama
ge to the Victorian and South Australian crops, but he is confident sales will n
ot be affected.
"It's one of the transparencies that Riversun has," he said.
"It goes out and tells the customer base that we have procedures and policies in
place and it's adhering to them.
"If it's minus two for more than four hours properties are put into suspension u

ntil they are assessed to see if there is any damage on that property, so we've
explained that to supermarkets and they are all still on board."
Dairy farmers form collective bargaining group
Tasmanian dairy farmers who supply food giant National Foods have formed the sta
te's first collective bargaining group.
About 30 farmers have come together to negotiate future supply and price contrac
ts.
The chairman of the group, Kem Perkins says the move was inevitable.
"It's the only way we could go to negotiate a price because under the rules and
the law these days you can't negotiate price as an individual," he said.
"You can't even put in on the agenda when you have a suppliers' group meeting so
the way we've set it up ... means that we can talk to any company, negotiate wi
th any company and we can take on board any suppliers that conform to the condit
ions."
One of the first jobs for the bargaining group will be to negotiate extra time f
or next season's price talks.
Renewable fuel plant nears completion
Work on the nation's biggest renewable fuel plant in Darwin is almost complete.
Natural Fuels Australia will import Malaysian palm oil to produce biodiesel late
r this year.
Charles Darwin University was commissioned to compare traditional diesel with a
20 per cent biodiesel blend.
Researcher Mark Thiele says emissions were reduced.
"Carbon dioxide emissions went up slightly but primarily because of the reductio
n in hydro carbon and carbon monoxide," he said.
"We also didn't actually notice very much difference in power or torque.
"Particularly at the 20 per cent blend, which is what we were testing, was only
about 1 per cent."
But Mr Thiele says it is not clear how sustainable it will be to import palm oil
.
"From a sustainability perspective it's probably a little bit more complicated,"
he said.
"We have to look at the whole cycle of biodiesel production and the feed stock.
"It was really outside the scope of the research work that we did."
Mary River dam decision outrages farmers
Farmers near Gympie remain outraged with the Queensland Government, despite its
decision to scale back the size of a proposed new dam on the Mary River.
Premier Peter Beattie initially planned a 660,000 megalitre dam, which would hav
e consumed almost 1,000 properties.
But he now says a smaller dam will be built, with the resumption of 500 properti
es.
Under the three-stage plan, the dam wall would be raised if more water is needed
in 2035.
But locals at a public meeting to hear the details were furious, saying they wil
l be left in limbo for 30 years.
"I've been living here 30 years and been waiting to retire," one said.
"I'd been retired one week when he dropped this bombshell."
Another resident said: "Some people in stage one will get bought out there's no
doubt if they proceed, and so they've divided the community even more.
"And they left these people in stage two to whither on the vine."
Competition will cut farmers' market share: study
A new report says in the next 10 years Australian farmers will lose market share
to developing countries like China, Brazil and India.
The Organisation for Economic Cooperation and Development (OECD) and the United
Nations have compared 15 commodities.
They have found that as developing nations increase production and become more c

ompetitive, countries like the US, EU and Australia will lose out in world agric
ultural trade.
Australian exports of sugar, beef, rice and pigmeat will be hardest hit, with le
ss impact on wheat and poultry.
Trade analyst Peter Gallagher says although world trade rules will play a part,
global export competition is on the rise.
"The world is not beating a path to our door looking for primary products," he s
aid.
"The opportunities for Australia are now going to be much more in the processed
food area and in the fresh foods and ingredients areas.
"It is important that we realise many developing countries are becoming more eff
ective producers of primary products and we need to look at the structure of our
own production for the future."
Apple growers look to boost productivity
Australian apple growers are investigating ways to make their orchards more effi
cient, to compete with the low production costs of other countries.
The industry will set up 60 trial sites around the country to compare different
planting styles.
The chairman of Apple and Pear Australia, Darral Ashton, says one option is to d
ouble the number of trees per hectare, using dwarf root stock.
"The trees don't take the usual say four or five years to come into production they come into production very easily," he said.
"Because you have so many trees per hectare, each tree doesn't have to carry so
many apples to get that high production per hectare.
Climate change threatens blackcurrant industry
There is a warning today that Tasmania's niche blackcurrant industry is under th
reat from global warming.
Plant pathologist Steve Wilson says there has been a progressive drop in yields
over the past 15 years because of a sharp increase in extremely cold nights.
Mr Wilson is trialing other black currant varieties in an attempt to boost yield
s, but says he is not hopeful.
"This, I think, may be the canary in the coal mine," he said.
"It is showing that climate change can impact on commercial crops.
"w We've often thought of climate change as something that can impact on natural
populations, but here it is having quite a distinct impact, quite a distinct ec
onomic one, on a small industry."
Copper find excites stock market investors
A small copper explorer has shot out of obscurity after discovering rich veins o
f the metal near Cloncurry, in north-west Queensland.
Shares in Australian Mining Investment shot from 29 cents seven weeks ago to a t
op of $10 yesterday, turning it into a billion-dollar company.
It says drilling at its Rocklands copper deposit is continuing around the clock
to feed the stock market more news.
Hartley's mining expert Rob Brierley says little is known so far about the Rockl
ands deposit.
"Not very much at all - I think that's what captured the imagination of the mark
et," he said.
"In fact it's really been a meteoric rise.
"There is a long way for this company to go, but it's great to see that a discov
ery can still capture the imagination of the investment public."
Shares in Australian Mining Investment are in a trading halt.
Korean missile tests boost oil price
The price of crude oil has hit a record high in the United States overnight afte
r North Korea launched a series of missiles into the Sea of Japan.
The price of crude oil settled at a $US75.19 a barrel.
The prices of gold and silver were also affected.

Coles backs inland rail link proposal

Coles Myer has backed plans for an inland rail link between Brisbane and Melbour
ne but supporters of the project say that is not enough to get it off the ground
.
The head of the Australian Transport and Energy Corridor, Everald Compton, says
governments will be the key to the $4 billion rail network.
Coles Myer has lodged a submission to a Productivity Commission inquiry into the
nation's freight system, saying the inland project would help to make rail more
efficient.
But Mr Compton says it is now in the hands of government.
"The Coles Myer thing won't make any difference because other people have said t
hat before," he said.
"For instance, Woolworths said it some years ago and governments took no notice
of them."
Snowy inquiry head attacks 'secrecy culture'
The head of a New South Wales Government inquiry into ongoing public ownership o
f the Snowy Hydro-Electric Scheme says he is trying to break down a culture of s
ecrecy within the authority.
A proposed $3 billion float of the state and federal-owned power and irrigation
provider was scuttled in the wake of public protest last month.
At a hearing in the Snowy Mountains town of Cooma yesterday, inquiry chairman Go
rdon Moyes said he heard evidence of a systematic, long-term lack of transparenc
y by Snowy Hydro.
"There's been an absolute failure in terms of communication, not just recently,
it's been a culture that's come to us from evidence for at least 20 years," he s
aid.
"Who told them not to communicate, who actually authorised the change in nature
of the company's businesses?
"They are very significant and important questions and will determine the result
s of the inquiry."
The final report is due on October 27.
Sea rangers meet in Arnhem Land
One hundred sea rangers from more than 14 different language groups across Arnhe
m Land are meeting this week, at the Aboriginal community of Maningrida, 550 kil
ometres from Darwin.
Aboriginal land makes up 85 per cent of the Territory coastline and while the co
nference is an opportunity to share skills and ideas, the main focus is finding
a secure funding to continue their work.
Kulukuk farm mud crab trial breeds success
A Darwin Aboriginal community has succeeded in growing out its first farmed mud
crabs, as part of a commercial trial.
So far 600 crabs weighing an average of 350 grams have been sold to wholesalers.
The trial is part of a Commonwealth Government Shared Responsibility Agreement.
The Kululuk farm employs eight people, including traditional owner Jacqueline Tr
eves.
"We seem to be one of the first people in Darwin to grow our own mud crab farm,"
she said.
"Now that we have got one, we just want to make it work for us and our children.
"It's important because we want good jobs for younger Indigenous people and for
our own children.
Country women gather for field day
Almost 150 women made their way to Buntine in the West Australian Wheatbelt for
the annual Liebe Women's field day yesterday.
Those who attended say it was a good opportunity to get away from the farm and s
ocialise with other farming women who are also struggling with the dry start to

2006.
"These sorts of days are even more important when you realise you're actually no
t alone and that everybody's going through the same pain," said Sally Lee from t
he Wubin district.
US growers slam 'sham' Australian wheat deal
US Wheat Associates has accused Australia of putting together a sham deal to sel
l wheat to Iraq.
Loading has begun in Geelong of the first shipment of wheat to Iraq since a ban
was imposed on trade with AWB earlier this year.
US Wheat Associates claims the Wheat Australia consortium's 350,000 tonne contra
ct is just a way for AWB to get around the ban.
It accuses AWB of selling to Iraq from its wheat pool through the consortium.
Rebecca Coleman says AWB still controls the pricing.
"We think that the Wheat Australia situation is pretty much a shell game, a sham
and a way that allows for AWB to continue to funnel wheat to Iraq and avoid the
sanctions that are currently in place," she said.
Ms Coleman says Iraq is now one of the US's top 10 wheat customers.
Dry weather hits WA grain harvest
Western Australian broadacre farmers could be confronting one of their worst har
vest seasons in history, after another month of warm and unseasonably dry condit
ions.
The state's grain handler and marketer, Co-operative Bulk Handling, had earlier
predicted that summer subsoil moisture would help produce a crop of around 11 mi
llion tonnes, despite an historically dry start to winter.
But operations manager David Fienberg says the entire state's yield could now be
as low as 7 million tonnes.
"What we're concerned about is keeping farmers on farm and of course that direct
ly relates to their profitability and of course that comes from volume," he said
.
"My gut feeling is that lupins are going to be considerably down compared to whe
re they might have been given that early break in summer, I think canola also go
ing to be substantially down."
Poor harvest sends farmers to other jobs
As the dry spell continues in Western Australia, young farmers are already start
ing to consider their options off-farm.
Many farmers are opting not to put a crop in this year.
Wes Teakle, from Northampton, is going to build sheds because there is no money
to be made on the land this year.
"I know of half a dozen guys, just off the top of my head, that are doing the sa
me thing that I'm doing and looking for alternate work," he said.
"Unfortunately there's not enough room for all of us in a small town like Northa
mpton or Geraldton.
Cowra abattoir cleared over sackings
The Cowra abattoir in New South Wales has been cleared over its decision to dism
iss 29 employees under the new WorkChoices laws, and re-hire some under a differ
ent award.
The Office of Workplace Services has found the company did not break the new law
s, and its actions would still have been lawful under the old legislation.
The Federal Government says it has been vindicated by the ruling.
Anderson urged to put off retirement
Former deputy prime minister John Anderson
onal Party to shelve his retirement plans,
being abolished.
The Nationals say the Australian Electoral
electorate with Parkes in New South Wales

is reportedly being urged by the Nati

to try to stop his federal seat from
Commission's plan to merge the Gwydir
is an attack on country Australia.

As well as urging the commission to hear community concerns firsthand, Gwydir El

ectorate Council chairman, Mark Coulton, wants people of all political persuasio
ns to lobby against the proposal.
"John made the point yesterday that if he was still the deputy prime minister, w
ould Gwydir have been abolished?" he said.
"I think everyone knows the answer would be no, so whether John stays or not is
a different issue.
"A simple solution like that I think we're too far down the track for that."
Commonwealth urged to heed environmental management survey
The first survey of how farmers are managing the environment shows more than 90
per cent are undertaking improvement works.
The Australian Bureau of Statistics research also shows most farmers consider we
eds, pests and native vegetation to be their biggest concerns.
Farmer groups say the findings should influence the Federal Government, which is
deciding how to fund natural resource management.
Corey Watts, from the Conservation Foundation, says a range of factors influence
the amount of time and money farmers spend on conservation works.
"A lot has to do with the ability of people to be able to receive the kinds of r
esources that they need to plan and undertake works at different scales," he sai
d.
"Drought is a big one - a number of parts of the country are in drought and that
really does stuff up people's ability to do what needs to be done in the long-t
erm.
Rural Commodity Index rises 8pc
Agricultural commodity prices remain strong, with the Westpac-National Farmers F
ederation Rural Commodity Index up nearly 8 per cent compared to this time last
year.
Dairy is the only sector which has fallen below last year's level.
In the past month, barley, canola, cotton and wool have gone up, with small fall
s in sugar and beef.
Justin Smirk, from Westpac, says while prices are pretty good at the moment, nex
t year could be a different story if the world economy slows down.
"However, as you move into 2007, those positive price responses will mean you'll
get a supply response," he said.
"In addition, with interest rates around the world rising, does suggest it will
be a softer year.
Rig demand delays geosequestration trial
Researchers say the first Australian trial of technology to try to trap greenhou
se gases underground is being delayed.
The $30 million geosequestration project in south-west Victoria aims to test whe
ther carbon dioxide from coal burning power stations and gas mining can be store
d underground.
The Federal Government has funded the project as one of its preferred ways of co
mbating climate change.
The project's leader, Dr Peter Cook, says preliminary tests are being carried ou
t but he does not expect to be able to start pumping carbon dioxide underground
until next year.
"A lot of people want to drill for oil at the moment so it's a bit hard to get r
igs," he said.
"Also it's a constraint on us that costs have generally gone up.
"We're not a major company, we're a research organisation with limited funds so
we have to be rather careful the way that we use those funds.
Cattle killers thought highly organised
Police in Western Australia suspect there may be an organised network killing pa
storal cattle to sell their meat.
Seven cows have been reported butchered on Pilbara stations in the past month, a

nd police believe there may be more which have not been reported.
Pastoralist Richard Climas, from Mardie Station 150 kilometres west of Karratha,
says cattle theft is becoming a regular occurrence.
"I've found a few carcasses, generally only the legs and hide left, and they've
taken the whole lot," he said.
"It happens quite often. A good bull at the moment is probably worth $600, $700
a beast, it adds up pretty quick.
"What else are they doing while they're out there?
"If they're brazen enough to kill a beast what else are they going to be doing w
hile they're out and about?
"We've had solar panels stolen and all sorts of stuff stolen."
Further north in the Kimberley, the state's stock squad says there has been sign
ificant cattle thefts over the past 12 months.
Cane smut found on 30 properties
Sugar cane smut has now been found on 30 farms in the Childers area of south-eas
t Queensland.
The disease, which can cause major crop losses, was found for the first time on
the east coast less than a month ago.
Chris Adriaanson, from Queensland's Department of Primary Industries, says the d
isease will not be eradicated.
He says in the future, farmers will have to rely on resistant crop varieties to
eliminate the impact of the disease.
"It depends on what you define as eradication," he said.
"If eradicating means biologically extinguishing the disease, then that's never
been the objective, it's not part of the way we have to do this business.
Abattoir closure to impact on livestock producers
Livestock producers in South Australia's north say they will be hit by higher fr
eight costs, after the closure of Conroy's abattoir at Port Pirie.
The plant closed on Friday and sold to T and R Pastoral, which has no plans to r
eopen it in the short-term.
One hundred people were employed at the abattoir.
Sandy Morris from Yardea Station in the Gawler Ranges says it will cost him up t
o $5 a head more to send stock to the meatworks at Murray Bridge instead.
"The impact on us will be that we won't have the option to send them to Pirie wh
ich is the closest abattoir for us," he said.
"We'd have to send them on to Murray Bridge, which would be double the amount of
freight.
"I'm not quite sure how far Murray Bridge would be from Pirie but it would have
to be another 250 [kilometres] I'd imagine. Probably looking at something like $
2.50-$5.00."
Meanwhile an abattoir at Stanthorpe, in southern Queensland, says it had to temp
orarily shut down this morning after temperatures dropped to -20.
The Bureau of Meteorology has reported temperatures of minus six at nearby Warwi
ck and Applethorpe.
John Allan from Don Allan and Co says the abattoir's hot water system froze.
"We still haven't started work because the cold outside froze the pressure of th
e steam inside our steam valves," he said.
"It just blew from sheer pressure, so that's letting all the steam out now, so w
e have to replace that now.
Australians crave roast dinner: anthropologist
A visiting anthropologist claims the Australian love of a good roast dinner is h
ealthy and in our genes.
Dr Lionel Tiger is being sponsored by Meat and Livestock Australia, which has ru
n a campaign linking human brain evolution to the consumption of meat.
Dr Tiger says a survey has found 78 per cent of Australians rate a roast as amon
g their all-time favourite meals and it is a more natural craving than those for
sugar and fat-rich processed foods.

"Australian beef is grass-fed and a lot of the hostility to beef depends in part
on the American style of making beef which is grain-fed and therefore much fatt
ier," he said.
Citrus growers set to export to China
Strict quarantine measures have finally been agreed upon to send citrus fruit in
to China, with the first exports due to leave later this month.
Growers had hoped China would help solve some of Australia's oversupply problems
, but Judith Damiani says it is not yet known how much fruit will be exported th
is year.
Ms Damiani says prices are also uncertain.
"The quarantine requirements make it fairly difficult to put a lot of volume of
fruit into that China market," she said.
"So we will have to start very slowly, we'll have to do some trial shipments ini
tially and after two years we will have to look at amending the protocol and mak
ing it easier to ship there."
Richie Roberts from Renmark says his fruit company will start packing fruit for
China early next week.
"We're very keen to get several containers to China just to test the market beca
use there's so much work that the industry's put in to get access," he said.
Wine exports jump
Wine exports jumped 12 per cent during the last financial year but prices suffer
ed, according to new figures from the Wine and Brandy Corporation.
Seven hundred and thirty eight million litres were exported, with wineries selli
ng a large amount of bulk wine to reduce surplus stocks.
Cotton properties fail to sell
Two large multi-million dollar cotton properties in south west Queensland have f
ailed to sell at auction.
The Queensland Government had planned to buy the farms to return water to the Mu
rray Darling Basin, but withdrew because it did not have the support of the New
South Wales or Federal Governments.
The properties, Clyde and Ballandool, with water licences totalling 58,000 megal
itres were expected to make about $60 million at auction on Friday.
Ballandool was passed in at $20 million, while Clyde is still under negotiation
at $27 million.
Ian Cush from the New South Wales Irrigators Association says the properties hav
e little stored water and growers could not afford to invest and not have a retu
rn.
Code of conduct for pig welfare criticised
The animal rights group Voiceless has criticised the Federal Government's draft
code of conduct for pig welfare, claiming it is inaccurate and limits public con
sultation.
Voiceless says the proposed code invites the public to make submissions through
a survey which restricts objections to things like sow stalls.
Spokeswoman Katrina Sharman says the code also incorrectly claims other countrie
s have no plans to phase out sow stalls, which is inhibiting public debate.
"The regulatory impact statement which accompanies the code suggests in Denmark,
which is a major competitor to Australia's pig meat market, there are no plans
to phase out sow stalls," she said.
Grain production forecasts down
Strong global wheat prices are the only bright spot for growers at the moment, w
ith production forecasts down right around the country.
Queensland has all but given up on its winter wheat, it is a similar case in WA,
while New South Wales and Victoria are doing it tough, with weeds the latest th
reat to young crops.
It is a gloomy picture right around the country, with South Australia the only s

tate expected to deliver a reasonable harvest.

But grains analyst Lloyd George says with international stocks expected to tight
en, good prices should continue.
Dry Seasons Advisory Committee activated
With Western Australia struggling through its driest start to winter on record,
the State Government has activated its Dry Seasons Advisory Committee.
To be formed this week, the committee will include farm bodies, farm management
consultants, rural business and local and state government.
Dexter Davies will again chair the committee, which last operated between 2000 a
nd 2002, and says there are a range of areas to be addressed.
"Identify the worst areas, things like health services, the education services,
all the basic services to make sure that we've got enough there and people have
got somewhere to turn to very early in the piece," he said.
Chapman Valley victorious in Powder Puff footy match
When times are tough it is even more important to have a laugh and there were pl
enty on hand at the annual Powder Puff footy match in WA's Chapman Valley at the
weekend.
The game pits the Valley girls against the Northampton girls in front of a bid c
rowd of local farmers.
Abbey Langley of Northampton kicked a ripper goal on the siren and explains how
it all happened.
"One of our players high tackled a Chapman Valley girl and they went to kick it
and I was just in the right spot at the right time," she said.
"And I marked it. I don't know how far I was out, but I thought I wasn't going t
o get it.
"But I thought I'd better have a crack at it on the siren. So yeah, it was prett
y funny. It's good fun."
Organiser pleased with beef auction prices
Central Australian beef has attracted record prices at a weekend auction at the
Alice Springs Show.
The champion steer carcass, from the Holt family of Delny Station, sold for $6.7
0 a kilogram.
Competition organiser Nicole Hayes says she was surprise that so many drought-hi
t pastoralists supported the auction.
"Considering the season, we are pleased with that," she said.
"We had to support it so you have sort of got to put in what you have got and co
nsidering how dry it is at home, it's good to see.
"We just haven't got the cattle that we would have had in previous years. Our nu
mbers are going to be right down, especially for next year.
"There's not many little calves around which is a bit unfortunate but it's as go
od as we can do.
Apple growers take advantage of Italian World Cup win
Apple orchardists in central western New South Wales are already trying to take
advantage of this morning's World Cup win by Italy.
Italian-born, but proud Australian orchardist Guy Gaeta says he is looking for w
hite apples to blend with his fruit.
"We have got red and green apples I suppose but unfortunately we haven't got any
white ones," he said.
Ship owners back moves for cheaper foreign workers
Ship owners say the latest move to replace Australian crew members with foreign
workers is important for the competitiveness of our exports.
Crew members from the MV Stolt, currently docked in Hobart, are refusing to load
the tanker in protest at plans to re-flag the vessel and replace them.
But Llew Russell from Shipping Australia Limited says it is cheaper to use forei
gn workers and the trend is likely to continue.

"We certainly support viable and competitive Australian flagged shipping but thi
s should not be in terms of inhibiting our overseas competitiveness," he said.
Farm quarantined after BJD find
Just when many farmers in Western Australia thought the season could not get any
worse, there has been confirmation of a fatal wasting disease in a cattle herd.
The Department of Agriculture and Food says a farm near Albany in the state's Gr
eat Southern, has been placed under quarantine, in a bid to prevent further spre
ad of bovine Johne's disease (BJD).
The state's BJD-free status is now under threat.
Chief vet Dr Peter Buckman says an extensive testing process is now under way to
try to trace beef cattle which have been sold off the farm in the past decade.
Mining company shares continue trading halt
Shares in Australian Mining Investment remain in a trading halt because of conce
rns over whether the company has disclosed enough information to the stockmarket
.
The Queensland explorer shot from obscurity last week when its shares jumped 2,0
00 per cent after it discovered rich veins of copper at its Rocklands deposit ne
ar Cloncurry.
However, Hartley's resource expert Rob Brierley says the Australian Securities a
nd Investment Commission is now querying whether the drill results meet market s
tandards.
Govt urged to rework fuel tax bill
There are claims today that the Federal Government's complex fuel tax bill could
spell the end of the biofuels industry.
The renewable fuel sector says investors are being turned away because the bill
has reduced its access to the market since its introduction on July 1.
Bob Gordon from Renewable Fuels Australia says the Federal Government needs to g
o back to the drawing board to make the legislation fairer.
"Unlike the rest of the world which is surging ahead with biofuels industry grow
th and all of those countries that have emerging biofuel industries have high ta
riff regimes to protect them against imports until they're established in the ma
rket," he said.
"Australia is going in the opposite direction. Progress is going to freeze in Au
stralia, if not worse."
A Victorian dairy company says with the a growing number of biofuel projects on
the drawing board, companies will have to convince the Federal Government to off
er tax incentives.
John McLean from the Warrnambool Cheese and Butter Factory says his company want
s to use bio-gas from its cheesemaking operation as a dual fuel for its milk tan
kers.
VFF group calls for restructure
There are calls today for a major restructure of the Victorian Farmers Federatio
n (VFF).
The VFF's livestock group says its membership has fallen from 6,000 to 3,000 and
it may no longer be able to afford representation on peak industry bodies like
the Sheepmeat Council.
Group president Ailsa Fox says the VFF needs to change the way it allocates its
budget.
"There's two ways of dealing with this question, whilst we need more funds, our
executive officer identified that there is perhaps resources that could be share
d a lot better within the organisation," she said.
Sheep thefts may lead to more livestock truck checks
Police on South Australia's Eyre Peninsula say they may resort to checking every
livestock truck on the region's roads after a growing number of sheep thefts.
About 1,200 sheep have been reported stolen this year, including 250 head from n

ear Wudinna this week.

Senior-Sergeant Paul Roberts says all peninsula police stations have been alerte
d.
"It may well be that we want the staff to stop all stock crates that are moving
throughout the local service area and along the highways," he said.
US wheat farmers sue AWB
Six American wheat farmers have launched a class action against AWB in the Unite
d States, claiming the wheat exporter's dealings in overseas markets damaged the
ir own incomes.
According to media reports, the US wheat farmers are alleging AWB engaged in a g
lobal campaign of racketeering, money laundering, fraud and bribery.
While some of the allegations relate to the Iraq market, others relate to deals
in Yemen, Pakistan and Indonesia.
The US farmers are arguing for millions of dollars in compensation, claiming AWB
's actions resulted in them being excluded from certain wheat markets and damage
d their economic interests.
But law Professor Richard Garnett says even if the action is successful, there a
re doubts about whether AWB in Australia could be financially liable.
"We don't generally recognise judgments from foreign countries which are punitiv
e or designed to punish defendents, we only recognise judgments which are compen
satory, where a sum of money is provided in compensation for losses," he said.
AWB, which has not yet been served with the writ, says the actions are ill conce
ived and the company will vigorously defend any claims.
Meanwhile the first shipment of 350,000 tonnes of grain through the Wheat Austra
lia consortium is expected to set sail for Iraq this week.
But AWB International says if there is a new tender to supply Iraq it would pref
er to strike the deal itself.
The Iraqi Grains Board has refused to deal with AWB because of its involvement i
n the oil-for-food scandal.
But AWB International chairman Ian Donges is hoping for a change of heart.
"We'll wait for that tender of course and we'll be talking to Iraq in terms of w
hether the ban still applies to AWB firstly," he said.
CSIRO begins researching grape quality potential
New equipment is being developed to measure the potential quality of grapes befo
re they are harvested.
The CSIRO has been researching the links between grapes and the quality of the w
ine they produce, using chemical and sensory analysis.
It is hoped the research can be used to develop bio-sensor technology, which wil
l be used to test grapes at the vineyard or weighbridge.
CSIRO scientist Dr Aggie Cox says that should help growers receive fairer prices
.
"What we're basically trying to do is look for things that we can measure to be
able to tell us what sort of wines those grapes can produce," he said.
"And the reason we're doing that is to try and make the wine a lot more consiste
nt so the winemakers have some sort of idea of what that parcel of grape is pote
ntially able to produce in the end.
Beekeepers discuss industry's future
Australia's leading beekeepers are in Launceston today discussing the challenges
of falling honey prices and the growing threat of disease.
It is estimated that the beekeeping industry is worth $1.7 billion to Australian
agriculture, and at today's meeting, apiarists from around the country are deci
ding how best to allocate the annual half-a-million-dollar research and developm
ent budget to protect the future of the industry.
Chief among concerns is the threat of the verroa mite, which has already decimat
ed the US industry and was found in New Zealand's South Island just three weeks
ago.

Mahogony timber harvest headed for floorboarding

The first commercial timber harvest from far north Western Australia is destined
to be floorboarding for Perth's housing boom.
Indian sandalwood was supposed to be grown in the Ord River pilot project, but t
he trees were taken over by african mahogany, with 300 hectares now harvested.
Max Correy from the Kimberley Timber Company says the mahogany trees seem to enj
oy the irrigated growing conditions.
"All the other mahogany plantations, which have more or less been trial plantati
ons are all dry-land," he said.
"And of course they are looking at two to two and a half, maybe three times the
growth time frame that we are.
Wwoofers on the increase in Aust
Australia now has the largest number of wwoofers in the world.
The term wwoofing stands for "willing workers on organic farms" where travellers
help with farmwork in exchange for food and board.
Australia has around 11,000 wwoofers working on 1,600 farms each year.
Jordyn Rettinger, a 22-year-old from Ontario in Canada says it is a great way to
see the world.
Fungi used in weed kill trials
Scientists are closer to understanding how native fungi can kill introduced weed
s across northern Australia.
Trials in north Queensland have identified 10 varieties of fungi which have been
causing dieback in parkinsonia, a weed which threatens 75 per cent of Australia
's north.
Victor Galea from the University of Queensland says it is unusual to find a nati
ve organism that can be used as a cheap biological control agent.
"We suspect that a lot of these fungi which are in the soil are adapted to live
in that situation and parkinsonia is not adapted so well," he said.
Wool price increases predicted
Some good news for the wool industry today, with analysts tipping good price inc
reases in the second half of the year.
Retail demand is down in key markets like the United States and Japan, but econo
mic conditions in most wool consuming countries are forecast to improve, which s
hould see sales pick up.
With most Australian auction centres entering the winter recess, chief economist
at Woolmark, Chris Wilcox, says confidence for the rest of the year is high.
"We would expect to see a similar price gain to what we've seen in the first six
months," he said.
"It is a fairly positive outlook, in fact Woolmark business survey results, the
last survey we did was the most positive we've seen in nearly five years. And I
think we'll see more of that in the coming few months."
Meanwhile, the latest figures from Australian Wool Innovation show wool producti
on is set to fall away in Western Australia by about 7 per cent over the next ye
ar, with a minor increase in the eastern states.
Although dry conditions are affecting most of the country, sheep numbers are not
expected to decline any further.
Study shows more severe droughts ahead for Aust
New research into the sun suggests eastern Australia could face more severe drou
ghts over the next 500 years.
A study at the University of New England in New South Wales has shown a link bet
ween solar cycles and rainfall patterns, which can be used in conjunction with t
he southern oscillation index to more accurately predict droughts.
Associate Professor Robert Baker says fewer sunspots or cold patches on the surf
ace of the sun may mean the eastern states are headed for drier times in the lon
g term.

Live export industry generating $1.8b a year

The live export industry is fighting back against animal rights activists with a
n industry backed survey released today detailing the part it plays in the natio
nal economy.
Live exports have been under attack from activists for some years and the Federa
l Government has banned exports to some Middle East countries following animal c
ruelty concerns.
Lamb exporter releases new contract conditions for producers
A major Western Australian lamb exporter admits it has taken a risky step by neg
otiating new contracts for the heavy lamb market in North America.
In recognition of the hard winter across the southern half of the state, meat ma
rketing co-operative WAMMCO has released new contract conditions for producers,
allowing for lambs two kilograms lighter.
Chief executive Des Griffiths says the main challenge is to help producers to co
ntinue selling their lambs, despite the lack of winter feed and also hold on to
the lucrative export markets.
"In Western Australia particularly, we're at risk of losing it because in the ea
stern states if they have a reasonable season, the product is available out of t
here," he said.
US wheat futures jump
United States wheat futures jumped a further 3 per cent last night following gro
wing concerns about their spring wheat crop.
Contracts on Chicago out until December 2008 have also jumped to nearly $US5.00
a bushel, well above the current spot price.
Dougal Hunter, from the Australian Stock Exchange, says this points to good dome
stic prices for the next three harvests.
"There's no doubt the higher prices out in the deferred months, particularly 200
7 and 2008 for Chicago have presented selling opportunities both on swaps and on
the ASX," he said.
"On the ASX at the moment the January contract for milling wheat settled at $218
.
Cattlemen claim best season in years
Cattlemen south-west of Darwin are hailing their best season in years.
The heavy wet season has seen a growing number of cattle being fattened in the D
ouglas Daly region.
Producer Ian Mcbean says the conditions should see an increase in the number of
cattle going into the territory's live export trade.
"It is definitely the best season I have ever seen in the 50 odd years I have be
en in the Territory, really good growing season," he said.
States look to align illegal fishing laws
Queensland, Western Australia and the Northern Territory are looking at aligning
their laws to tackle illegal fishing, as part of a joint effort to tackle the p
roblem.
The Federal Government has also agreed to fund a pilot project, examining the ro
le of Indigenous sea rangers in coastal surveillance.
But Peter Cassells, from International Fisheries, says ultimately there will not
be a need for rangers to help because the Government wants to stop illegal fish
ermen before they reach Australian territorial waters.
"I mean in an ideal world illegal fishers will not get through to the coastal st
rips," he said.
Cherry growers urged to support levy increase
Cherry growers say they are facing a tough season, with a lack of overseas marke
ts and a forecast heavy crop.
New fruit fly protocols in Taiwan have closed that market and growers cannot get
fruit into China, the US or New Zealand.

The industry now wants to increase its levy from one to eight cents a kilogram t
o fund research and development, marketing and promotions.
Trevor Ranford from Cherry Growers Australia hopes most growers will support the
changes.
Efforts have begun to tackle fruit fly outbreaks on a national basis for the fir
st time.
In the past, controlling the pest has been left up the states, but the horticult
ure sector believes there needs to be a more coordinated approach.
Plant Health Australia spokesman Kyle Thoms says there will be a meeting in Canb
erra next month to kick off the effort.
"There's been a lot of good work done that's been done over many years across al
l of the states, but this is going to give us a chance, this national program, t
o bring all those players together," he said.
Conference to focus on sustainability of Indigenous communities
The future of remote Indigenous communities is in the spotlight at a national co
nference in Perth today.
Across Australia, 250 delegates will attend the conference to look at how to mak
e the communities sustainable.
Doctor Martin Anda from Murdoch University says they will not be focusing on pas
t failures, but looking for the success stories.
"[We will be] sharing ideas together on exactly how we might formulate some of t
hese new ways forward to try bringing more life and sustainability to some of th
ese far-flung communities," he said.
Kangaroo skin hits fashion capitals
Kangaroo skin is being promoted by designers and manufacturers in the fashion ca
pitals of the world.
A company in Cairns which exports up to 18,000 skins every two months to process
ors in Spain, France and Italy says the skins are made into everything from clot
hing to footballs.
Exporter Ross Gates says the skin is proving popular because of its strength, re
pellent nature and pliability.
"Quite a number of the upmarket men's shoe manufacturers are starting to manufac
turer their shoes from kangaroo," he said.
US researchers to grow crops on Mars
Researchers in the United States are running trials to see if crops can be grown
on the planet Mars.
NASA plans to send astronauts to Mars to set up a planetary base, a mission whic
h could last at least three years.
Researchers at the University of Florida are looking at which crops might be gro
wn hydroponically on the shuttle during the trial and also in greenhouses on Mar
s to provide food for the astronauts.
Professor of food engineering Arthur Teixeira says results have been successful.
"I believe research is now available to show that we could probably rely on bein
g able to grow certain varieties of rice, dry beans, soy beans and sweet potato,
" he said.
Mumbai train explosion behind gold price increase
The price of gold jumped $17 in New York overnight after a fatal train explosion
ripped through the financial district of Mumbai in India.
Spot gold price settled at $US643.10 an ounce, $80 below its record high in May
this year.
Instant TV messages to alert remote communities
If you are living in remote Australia in the future, instant messages with infor
mation from bushfire alerts to doctor visits could pop up on your television.
New research by the Desert Knowledge Cooperative Research Centre has shown that
the TV is almost always switched on in remote communities and improved technolog

y could make sure messages get through.

Dr Andrew Turk from Murdoch University says the technology would help to improve
communication.
"From the results of our survey, TVs seem to be on pretty well all day, now whet
her people are watching them is another question," he said.
"But if we put a message as audio in Idigenous language, people pick up on that
even if they're not watching the set and they realise that is something of inter
est to them, rather than just the general chatter in English.
Fuel prices changing rural lifestyles
High fuel prices are changing how rural families live, with some dropping childr
en's sporting commitments and car pooling with neighbours.
The latest figures from the Bureau of Statistics show transport, food and grocer
ies and recreation are the three biggest expenses for rural household budgets.
Queensland beef producer Georgie Somerset believes country people spend more on
recreation because they are spending more time on the farm.
"Perhaps there's a sense there of 'well we'll go and do this while it's in town,
or we'll take up the opportunity to go to a performance'," he said.
"If you're not going to get away from where you live then you may as well make t
he most of what you've got there and so yes I think there probably has been some
more spending on things like a DVD machine and a decent TV because they're actu
ally spending more weeks at home and less weeks away on holidays."
The New South Wales Irrigators Council says it will withdraw support for the Nat
ional Water Initiative, unless the federal and state governments make radical ch
anges.
The council's chief executive, Doug Miell, says the initiative is "off the rails
" and will place a huge financial burden on farmers and rural communities.
PM asked to slow down water trading
Farmers in Victoria's Goulburn Valley have called on the Prime Minister to slow
down the pace of water trading in order to stop it destroying local farms.
The Parliamentary Secretary responsible for water, Malcolm Turnbull, has met far
mers in Shepparton.
They have told him they cannot compete for local water which is being sent down
the Murray to irrigate vineyards and almond farms, and that they enjoy tax break
s through managed investment schemes (MIS).
Mr Turnbull says he will raise the issue with Mr Howard.
"I'll take back to the PM the concern that there is in the community, that the m
anaged investment schemes have certain tax advantages," he said.
Rural property values plateau
Rural property values seem to have finally plateaued after rising by 70 per cent
over the past five years.
Elders rural property expert John Peden says the softer market is more a correct
ion than a direct result of drought or lower farm incomes.
With uncertainty over water allocations, Mr Peden says there is less confidence
in the irrigation sector, although the beef industry continues to boom.
"There is normally a slowing in sales volume during the winter. We are experienc
ing that at the present time, possibly a little more than in previous years," he
said.
Drought relief scheme extended
There is good news today for 25 per cent of drought-hit farmers who rely on offfarm work to maintain an income.
Last year the Federal Government relaxed aid rules, allowing primary producers t
o earn up to $41,000 without affecting their drought relief payments.
Mining company confident of copper deposit discovery
The directors of mining company, CuDeco, remain confident they have found one of
Australia's biggest deposits of copper near Cloncurry in north-west Queensland.

The company, which until yesterday was known as Australian Mining Investments, h
it the headlines after its share price jumped from 29 cents to a high of $10 in
seven weeks.
Trading in shares are suspended pending an investigation by the Australian Stock
Exchange.
Directors met to reassure more than 30 shareholders in Cloncurry yesterday about
the accuracy of the company's exploration results.
CuDeco chairman Wayne McCrae thinks they are sitting on something big.
"We'll put a resource out of 59 million tonnes at 2 per cent and all the indicat
ions are [that] it just seems to be getting bigger," he said.
Wool quality and production on agenda of merino conference
Around 900 delegates from across the globe are in Perth today for the World Meri
no Conference.
Western Australian Farmers Federation spokesman Mike Norton says the latest deve
lopments in breeding and innovation, as well as wool quality and production, are
on the agenda.
He says it is excellent news to have so many people from around the world to att
end a conference in Western Australia.
"You really do get a different perspective of your industry from the speakers as
they come around the world on what's happening," he said.
Frost damage blamed for drop in orange crop
South Australia's navel orange crop will be down by as much as 30,000 tonnes due
to frost damage.
Industry officials say the crop could come in at between just 45,000 and 50,000
tonnes.
Other varieties including mandarins, lemons, tangelos and grape fruit have also
suffered significant losses.
Citrus Crop Estimates Committee spokesman Kym Thiel says more damage could still
appear.
"For some individuals there may be 100 per cent loss, for others it may only be
a certain percentage," he said.
Italian company doubles Aust wool purchases
The wool industry is claiming a win, following news that Italian fashion giant B
enetton will double its purchase of Australian wool over the next two years.
Last year, animal rights group People for the Ethical Treatment of Animals ended
a nine month campaign to pressure Benetton to boycott Australian wool, over its
concerns about the practice of mulesing.
Ad blitz to counteract animal liberation group campaigns
Australia's peak livestock body is planning a national advertisting blitz to try
to counter campaigns against the live export trade being run by animal liberati
on groups.
Meat and Livestock Australia says consumer attitudes to animal welfare are one o
f the biggest challenges facing the industry.
Meat and Livestock's chairman Don Heatley says the campaign, which is already ru
nning in Western Australia, explains how exporters are trying to improve welfare
conditions for livestock.
"We intend over a period of time leading up over the next six months to actually
roll that out on a national basis across Australia, so that the community under
stands what we do," he said.
Toxic weed could cost Qld millions
A new survey of a toxic weed is expected to show it is costing the Queensland li
vestock sector tens of millions of dollars in stock losses.
Agforce and the Department of Primary Industries have just launched a landholder
survey of pimelea which has resurged because of dry conditions in the western D
arling Downs.

The survey will be used to attact research funding to help landholders who do no
t have any way of curing affected stock.
Investment needed to control buffel grass: expert
Control of the introduced pasture buffel grass is proving a major challenge acro
ss central Australian parks.
For the past 12 years, Sydney University students have assisted Finke Gorge Nati
onal Park rangers, south-west of Alice Springs.
The control work involves hot fires and a new soil sterilant.
An anonymous trust funds the majority of the work, but Professor Lester Burgess
from the Faculty of Agriculture says there needs to be continual investment.
The overall program costs $10,000 each year.
"The buffel grass is continuing to increase slowly overall in the park, but I th
ink we have been quite successful in slowing it in some areas, no more than abou
t 50 hectares and we have reasonably good control over a further 250 to 500 hect
ares," he said.
Coal project to speed up approval
A new coal project in central Queensland will receive help to speed up the Feder
al Government approval process.
The Sonoma Coal Project near Collinsville has been elevated to national signific
ance status, which means government agencies will provide support to cut down re
d tape.
Fruit picking not for everyone, says grower
Single parents, the long-term unemployed, older people and some disability pensi
oners could all be forced to pick fruit under the Federal Government's new welfa
re-to-work program.
Under the guidelines, anyone living within 90 minutes of a harvest area can be e
ligible for fruit picking.
Victorian grower Michael Tripodi says extra workers are welcome, but not everyon
e is cut out for the job.
"To come out on an orchard we have to see value for money in our employees also.
It's a bit hard for us to put someone on that won't work as hard as we expect t
hem to work," he said.
"We're starting at daybreak and we'll probably try and push through until two o'
clock, once it gets to 40, 42-43 degrees it's bloody hot up here.
Stakeholders discuss quarantine concerns
A top-level meeting is today discussing how Australia's quarantine system can be
improved.
About 60 government and industry delegates have gathered in Canberra to examine
a range of concerns.
The National Farmers Federation (NFF), which is facilitating the meeting, says t
he relationship between AQIS and Biosecurity Australia could be improved to ensu
re Australia's competitive advantage in agriculture.
While some stakeholders such as the New South Wales Farmers Association have exp
ressed a need to combine the two quarantine authorities, NFF president David Cro
mbie says that is unnecessary.
"I think the really important thing is to make sure that we have the right peopl
e sitting around the table when we're putting probabilities on the likelihood of
occurrence and we have the right people sitting around the table - and I includ
e industry in that - of assessing what the likely consequence is," he said.
Federal Agriculture Minister Peter McGauran says the Federal Government has drop
ped its defences to ensure an open and frank assessment of the system.
"It will be a free-wheeling discussion and there will be different points of vie
w because not all of the many organisations present share entirely the same appr
oach," he said.
European snail found in Launceston

A European snail has been found in Australia, discovered on the outside of grain
containers in Launceston in northern Tasmania.
Known as white snails, they arrived on containers of lupins from Western Austral
ia.
Danny Reardon from Quarantine Tasmania says the situation was dealt with quickly
and he defends quarantine officers at the port of Fremantle, through which the
snails apparently passed undetected.
"When you come to think about it, there's hundreds of thousands of containers co
ming into the country and there's always a possibility that things will get thro
ugh the barrier," he said.
"It all depends on what stage the snails were at when they come in. They could'v
e been in the form of eggs, they may not have been developed, they could have de
veloped during the storage process there.
Scant rainfall dashes farmers' hopes
A forecast of heavy rain has ended in disappointment for South Australia's north
ern pastoralists.
The weather bureau was predicting falls of up to 40 millimetres in some parts, b
ut most properties got less than 20.
Tony Williams from Mt Barry Station near Oodnadatta says it was an anti-climax.
"There was a big build up to this one ... but it was a bit of fizzer, there were
good falls north of Oodnadatta, handy falls, but south down our way we only had
nine millimetres - so very disappointing, really," he said.
"It's been eight months since we've had a decent fall.
"Around 30 millimetres would have been nice but maybe next time."
Meanwhile, grain farmers in north-west Victoria are hoping the weather bureau's
prediction of rain this weekend is accurate.
There is no subsoil moisture on some farms at Ouyen, some farmers have given up
on sowing crops, while others have significantly revised their plans.
Farmer Dean Munro is not sure what is in store for the crop he planted eight wee
ks ago.
"The stuff that we did sow only about 20 or 30 per cent has actually come up, th
e rest of it is still in the ground, things are looking pretty grim," he said.
"This weekend's probably the last roll of the dice for this crop I'd say.
"If we don't get substantial rain this weekend it's certainly in a fair bit of t
rouble."
But pastoralists in the Northern Territory have fared much better.
Every district received falls in the past 24 hours.
In the Alice Springs district, most communities and stations received between 10
and 20 millimetres, with 54 millimetres recorded at Hamilton Downs Station.
Uranium drilling draws positive results
Australia's next uranium mine could be north-west of Alice Springs in central Au
stralia.
Deep Yellow, a Western Australian uranium exploration company, released positive
results this week from its exploration drilling at Napperby Station, 150 kilome
tres from Alice Springs.
Stockbroker Matthew Baker says that at just under half a pound per tonne reporte
d it could be economic.
"It's still very early stage but if you're looking at uranium companies, to me t
he angle is quite simple," he said.
"You look at them and say 'well I want one in the Territory because it doesn't m
atter what the Government here says'.
ASX investigates junior mining company
A second junior mining company, Frontier Resources, has come under the scrutiny
of the Australian Stock Exchange (ASX) after it released exploration results tha
t doubled its share price.
Shares in Queensland copper explorer Cudeco remain in a trading halt, pending an
investigation into drill results.

One
lts
Don
sts
"If
ASX

of the caveats on explorers releasing information to the market is that resu

must meet the standards of the joint ore reserve code.
Larkin, from the Australian Institute of Mining and Metallurgy, says geologi
can be suspended for releasing misleading results to shareholders.
there is a breach of the code or if there is some questions on the code the
will ask questions behind the scenes," he said.

Wool estimates 'ambitious'

Elders national manager of wool says wool production forecasts released this wee
k are overly ambitious.
Australian WooI Innovation has predicted shorn wool production in Australia to s
tay relatively stable in the coming year, with production tipped to increase sli
ghtly in the eastern states, but fall in Western Australia.
Dam task force chief meets locals
Former Queensland governor Major General Peter Arnison has begun meetings and in
spections as head of south-east Queensland's dam task force.
Plans for a dam in the Mary Valley, south of Gympie, will see more than 500 prop
erties resumed and a smaller dam has been proposed for Wyaralong on the Logan Ri
ver.
Visiting the Mary River site yesterday, Maj Gen Arnison listened to local concer
ns and was open to having more people on the task orce.
"We're about trying to get the broadest possible understanding of what the issue
s are," he said.
"I think in terms of the second phase of this which is looking for a much better
, brighter economic and social future for the Mary Valley and Cooloola Shire.
SAFF sells building to pay debts
The South Australian Farmers Federation (SAFF) is putting its Adelaide headquart
ers on the market to try to pay off its debts.
SAFF has been in financial strife for a number of years and falling membership n
umbers have made it difficult to stay afloat.
General manager Carol Vincent says the sale of the building will put SAFF back o
n track.
"The sale of the building will fix the whole thing, it'll pay off the debt," she
said.
"They'll have enough money to buy another building and a number of hundreds of t
housands of dollars left to invest in whatever way they see fit to give them res
erves.
NT banana growers cashing in on prices
Banana growers in the Northern Territory are continuing to receive record prices
following the destruction of major plantations by cyclone Larry.
The Territory's largest grower also operates in north Queensland and the Darwin
farm has been a lifeline for the business.
Farm manager Mark Smith says the Territory still has the cheapest bananas in the
nation.
"Up until the cyclone we would lose money sending fruit down south. The local ma
rket has kept us afloat," he said.
"The cheapest bananas in Australia are in Darwin at the moment, so it looks like
the prices are up at around $15 per kilogram elsewhere in the southern states.
Olive leaves show cancer-killing potential
Laboratory tests of an extract from olive leaves have shown it can kill prostate
and breast cancer cells.
Southern Cross University researchers on the north coast of New South Wales comp
leted the work for a manufacturer of the extract.
The university's Dr Lesley Stevensen says the results sound remarkable, but need
to be considered in context.
She says clinical trials are needed to test the lab theory.

"The effects that we found were lethal in that they would actually kill the cell
s if you like," she said.
Science in the paddock wins award for school
An isolated high school in north-west Tasmania has gained national recognition f
or taking science classes to the farm paddock.
Smithton High beat 22 other entries to win this year's Australian Rural Educatio
n Award.
Science students tested local soil and water quality and then reported back to l
ocal wool company Woolnorth.
Assistant principal Susan Wigg says local farmers are now lining up for help fro
m the students.
"We are most certainly thrilled to win the award and I'm sure that the community
will be proud that we have won this award," she said.
Toowoomba ratepayers to vote on drinking recycled water
As the water crisis in south-east Queensland continues, the ratepayers of Toowoo
mba will vote on whether they are prepared to drink recycled water.
Toowoomba Mayor Di Thorley says the referendum is the first of its type and is a
condition of Commonwealth funding.
"It was not our idea I can assure you," she said.
AWB seeks to confidential protect documents
Monopoly wheat exporter AWB is trying to stop the oil-for-food inquiry accessing
more than 1,300 confidential documents it says are protected by legal privilege
.
Barrister Melissa Perry told the Federal Court AWB's privilege claim has risen s
ince May, when it first submitted its list of secret documents.
AWB is arguing that the new amendment to the Royal Commissions Act allowing Comm
issioner Terence Cole to inspect the confidential documents is unconstitutional
and will cause the head of the Cole Inquiry to be in contempt if he examines the
m.
Rural health professions hail agreement
Rural health professionals say a new agreement between the states and the Federa
l Government will go a long way towards fixing the shortage of doctors in countr
y areas.
An extra 200 medical school places, funding for rural medical schools and a new
system of training that includes stints in regional areas are just some of the p
roposals put forward.
Rural medicine will be recognised in its own right and there will be a national
action plan for mental health.
Head of Melbourne University's rural medical school, Dawn deWitt, says while get
ting extra student places is a great achievement the hard work now is getting th
e teachers.
"How we are going to work through this issue of asking an already short workforc
e to teach a huge number of additional new students is going to be the trick," s
he said.
The Rural Doctors Association says it is not clear how many of the new medical s
chool places will be bonded but it hopes they will include living allowances and
other incentives.
Russia to open up beef export market
Russia will open up its beef export market to international bidders due to a sho
rtage of beef from the European Union.
About 230,000 tonnes of beef is needed to fill the Russian quota, with Brazil an
d Australia considered to be the big contenders.
Prices for beef in Russia have jumped 40 per cent since the beginning of the yea
r.
Andrew MacCallum from Meat and Livestock Australia says it is a significant new

market and should keep international beef prices buoyant.

7th mad cow disease case detected in Canada
The seventh case of BSE or mad cow disease has been detected in Canada.
NZ butter suspended from Europe
The world dairy market looks set to further weaken after the suspension of New Z
ealand butter from Europe.
The European Court of Justice made the ruling after a German company challenged
New Zealand's import licence.
New Zealand's exports to Europe make up about 15 per cent of the total world but
ter trade.
Rabobank dairy analyst Tim Hunt says Australian farmers will feel the effects.
"Fonterra and the New Zealand Government are working hard to reverse the decisio
n but if the issue is not resolved and trade resumed within four to six months w
e're going to have a lot of butter looking for a new home on the global market,"
he said.
Name change for sherry, port labels
Australia's wine industry will no longer use sherry or port on their labels to t
ry to gain better access to the European market.
Under an agreement to phase out the use of traditional European wine terms, port
will become Australian tawny, while vintage port will be known as Australian vi
ntage.
Sam Tolley from the Wine and Brandy Corporation says it will mean more freedom.
"We've been able to use this as a bargaining chip to get better access to the ma
rketplace," he said.
Pulp mill integrated impact statement released
Timber company Gunns has released an integrated impact statement for its propose
d pulp mill at Bells Bay in northern Tasmania.
The company says the $1.4 billion project will create 4,000 jobs during construc
tion and add hundreds of millions of dollars to the value of export woodchips.
Environmental groups are worried the mill could result in more logging in native
forests, although that has been rejected by project manager Les Baker.
"Not one tree will be cut down or one tree planted as a result of this project,"
he said.
"It simply transfers 60 per cent of Gunns export chips [that otherwise go to Asi
a] where its value added to a pulp mill in Tasmania.
"Woodchips are sold for about $90 a tonne where as pulp is sold for approximatel
y $800 a tonne so it's a terrific value adding project."
Indigenous communities urged to take better care of dogs
With animal numbers on the rise in remote communities, Indigenous communities ar
e being urged to take better care of their dogs to help improve their own health
.
A national dog conference in Darwin today is trying to unite Indigenous families
and reduce livestock losses.
Community leaders, vets and health workers have come together to share ideas, in
cluding the development of shared responsibility agreements to attract funding.
Dr Mark Lawrie from the RSPCA says that might help in a range of ways.
"I guess there's another over-arching thing that we're looking at at this confer
ence too and that's the concept of the linkage between violence to animals and p
eople," he said.
Giant pumpkins attract tourists
Giant pumpkins were a major attraction at the weekend's Kununurra Agricultural S
how in Western Australia's far north.
Just under 5,000 people came to see the Ord Valley's produce, including tourists
travelling across Australia's north.

Two pumpkins tied for the title as the show's biggest, weighing in at 55.9 kilog
rams.
The oversized vegetables caught most by surprise, including Gumi from Osaka, Jap
an.
Rain band saves crops in south-east
There are plenty of smiles over south-eastern Australia today after the first de
cent rain in months.
A big band of rain from central Queensland to southern Victoria has saved crops
and put some water back in tanks and dams.
NSW
Farmers in the central cropping belt of New South Wales had a short-term repriev
e, with falls of between 20 and 30 millimetres ensuring the survival of winter w
heat crops.
But the best falls were in the northern and far western regions, with the top to
tal of 60 millimetres recorded at Louth, west of Bourke.
Local grazier Wally Mitchell says it is great.
"This has been a magnificent rain change. Many of us have been pushing scrub, fe
eding cotton seed, keeping our breeders alive and some of us had even had a big
punt, and joined, so the little lambs are just coming on the ground here and thi
s will really turn the job around for us," he said.
Parts of Victoria were luckier than others, with talkback callers to the ABC rep
orting falls of up to 60 millimetres in the state's north.
SA
In South Australia, widespread rain is expected to keep the state's harvest on t
rack for a bumper season.
The top readings was at Maralinga in the far west with 65 millimetres, but while
most farmers are saying it is the most significant rain they've received all ye
ar, others missed out.
Rodney Lush from Coombe in the upper south-east was pinning his hopes on a good
rain after suffering a dry June and heavy frosts.
"It hasn't been heavy rain, it's barely been drizzle a lot of the time, it's onl
y made things damp, it certainly hasn't wetted things, barely enough to get my p
asture growth going again and it's certainly not enough let us go sowing lucerne
with any confidence," he said.
Qld
In Queensland there were some good falls in the parched west and south-west, but
little rain fell in the south-east, where dam levels are at critical levels.
Quilpie grazier Brian Rutledge says the 60 millimetres in his rain gauge is the
best in six years.
But Mr Rutledge says much more is needed if the region is to recover from drough
t and lose its title of "heartbreak corner".
"It has been dubbed heartbreak corner in the years gone by and it is certainly l
iving up to its name," he said.
AWEX in backflip on auction room decision
Australian Wool Exchange (AWEX) has reversed its decision to give up its auction
rooms in Sydney and Melbourne.
AWEX had wanted wool brokers to take over the Yennora and Brooklyn sites by the
end of the year.
The move was not supported by exporters or Sydney-based brokers, but Melbourne b
roker Don Fraser says it was vital to keep the auction rooms open.
"Our focus is on ensuring that our clients have a continuous selling arrangement
for their wool," he said.
"Should AWEX have decided not to go ahead, we would then have taken the lease ba
ck after all the brokers did set up 691 Geelong Road.
"The arrangement will be as it has been in the past, which is a one year lease w

ith a one year option."

Copper explorer's shares halved
Investors stripped almost $200 million from the value of Queensland copper explo
rer Cudeco Limited yesterday after it reclassified the size of its Rocklands dep
osits near Cloncurry.
The company was held in a trading halt for 12 days while the Australian Stock Ex
change queried initial exploration work details released to the market.
Yesterday Cudeco was forced to halve the size of the deposit because original es
timates did not follow market standards.
Shares in Cudeco, formerly known as Australian Mining Investments, were also sla
shed by half, finishing yesterday's trade at $3.56.
Hartley's resource expert Rob Brierley says it is a timely warning for sharehold
ers in speculative exploration stocks.
"Certainly it's a touch of reality for Australian Mining Investments, it obvious
ly got a little bit over excited," Mr Brierley said.
"It's by no means the end of the road, but it's probably a little lesson that so
metimes you need to prove these things up in a little more detail."
A number of investors in Cudeco have contacted law firm Slater and Gordon about
their losses.
Farmers set to be compensated for vitamin price fixing
Eligible farmers, feedlotters and feed suppliers are set to be compensated over
the vitamin price fixing scandal of the 1990s.
Australia's first class action against a price fixing cartel has been settled wi
th three major pharmaceutical companies agreeing to pay more than $30 million in
compensation and more than $10 million in legal fees.
The settlement still needs to be endorsed by the Federal Court.
Lawyer Kim Parker from Maurice Blackburn Cashman says it is a breakthrough case.
"It was issued as a result of a global cartel being exposed in relation to vitam
in products manufactured by a number of different vitamin, pharmaceutical compan
ies including Roche, BASF and Aventis," Ms Parker said.
Banana industry expected to regain full strength by Xmas
Bananas from trees which escaped the full force of cyclone Larry in north Queens
land earlier this year will begin arriving on supermarket shelves as early as Se
ptember.
The price of the fruit has skyrocketed with most of the crop wiped out during th
e cyclone.
Craig Allen from the Banana Industry Promotions Company expects the industry to
be back to full strength by Christmas.
"The response to the news has been great because banana ticket prices have been
at absolute record levels," Mr Allen said.
Looming lettuce shortage prompts grower to buy new farm
With a looming shortage of lettuces due to water restrictions near Melbourne, on
e of Australia's largest growers has been forced to buy land in another part of
Victoria.
Water allocations have been severely slashed in the Bacchus Marsh district due t
o low storage levels.
Frank Ruffo from National Fresh Salads has now bought a farm near Swan Hill, on
the Murray River, to obtain more secure water allocations.
"This is probably the first time in history that Bacchus Marsh has been so sever
ely hit, prior to that we haven't really had a great problem with water," Mr Ruf
fo said.
Tuna industry welcomes poaching report
A report that Japanese fishermen may have illegally caught more than $5 billion
in tuna over the past 20 years has been welcomed by the Australian industry.
The report by the International Commission for the Conservation of Bluefin Tuna

found that about 8,500 tonnes of tuna are being poached each year.
Brian Jeffriess from the Tuna Boat Owners Association says while illegal fishing
has cost them income, the figures show there is more tuna in the wild than prev
iously thought.
"That's a large loss of income over the last 20 years, if the report is correct,
" Mr Jeffriess said.
"That's a worrying situation.
"Strangely enough, if indeed it's true, then it shows the stock in a much strong
er condition.
"The way the science works is in fact that the more that has been caught, the mo
re productive the stock is.
WTO makes last effort to save trade talks
A last ditch effort has begun at the G8 summit in St Petersburg to save the Doha
round of world trade talks.
World Trade Organisation (WTO) director-general Pascal Lamy has been in confiden
tial talks with key countries including Australia, the United States and the Eur
opean Union to discover their final positions on farm trade reform.
Sleeping disorders among mining workers on the rise
With the Western Australian mining industry continuing to boom, the number of sh
ift workers suffering sleep disorders is growing.
Mining companies are operating 24 hours a day and the experts say many workers d
o not get enough sleep between shifts.
Dr David Hillman, from the Sir Charles Gardiner Hospital in Perth, says he is tr
eating a large number of shift workers and there are safety concerns which must
be addressed by mining companies.
"First of all there's a decrease in alertness levels, secondly our reaction time
s get slower," Dr Hillman said.
"Mood and memory are adversely affected, it just makes us under perform so we be
come safety risks amongst other things.
"It really is a massive issue for the Pilbara.
Hay balers fail to meet safety standards: survey
It is farm safety week and hay balers are the latest equipment to come in for so
me attention.
A recent survey by the Kondinin Group found two commonly-used hay balers failed
to meet industry safety requirements.
Engineer Josh Guimelli says farmers should be wary when purchasing new equipment
.
"A couple of the machines actually didn't have an upper walkway railing which, o
n a baler - large square baler - is quite a mission because they're rather high
off the ground," Mr Guimelli said.
Researchers developing vaccine for de-sexing dogs
De-sexing dogs in the future may just involve a quick vaccination.
Researchers are developing non-surgical ways to control breeding without surgery
.
Professor Henry Baker from Auburn University, in the United States, is visiting
Australia and believes the emerging technology could help solve animal problems
in remote Indigenous communities.
"[It involves] chemical sterilisation, injections into the reproductive organs t
o cause their destruction and vaccines," Professor Baker said.
"Most people think of vaccines with respect to controlling infectious diseases,
but now vaccines have a new role to treat non-infectious diseases.
"In my country direct injection into the testes of dogs [is showing the most pro
mise].
"That's a registered product.
Court decision looms over AWB documents case

Wheat exporter AWB will know this afternoon if the Federal Court will hear its c
ase to keep 1,300 secret documents from the oil-for-food inquiry.
The company has claimed legal privilege over the material, saying it represents
confidential advice and should not be seen by Commissioner Terence Cole.
AWB claims disclosure of over 1,300 documents will expose the company to irrepar
able harm, even though the Federal Government amended legislation last month giv
ing Commissioner Cole the power to see the secret material.
AWB says the new law is unconstitutional and Commissioner Cole will be in contem
pt if he uses it.
The wheat exporter wants the Federal Court to impose a permanent injunction rest
raining the Commissioner from inspecting the documents.
Justice Neil Young will decide this afternoon if the court will intervene to hea
r the matter.
Meanwhile farmers in New South Wales have voted to continue their support for th
e single desk for wheat exports after a vigorous debate.
With the findings of the Cole inquiry into AWB still pending, farmers stated the
ir support for the single desk while calling for better controls.
A motion was carried calling for improved corporate governance within AWB and be
tter transparency between AWB and its export arm AWB International.
Nut growers look to overseas markets
Macadamia nut growers are looking offshore for markets for their near record pro
duction levels.
With falling consumer demand here in Australia, growers are taking advantage of
reduced tariffs for value-added products which were introduced as part of the Un
ited States Free Trade Agreement.
Jim Twentyman from Suncoast Gold Macadamias in south-east Queensland says tariff
s will be reduced to zero by 2008.
"At the moment, because of the duty reason, we're having to have that packed and
processed in the USA so we believe from next year we'll be able to do the packa
ging and processing in Australia," he said.
Dried fruits industry to take on snack foods sector
The dried fruit industry says it will tackle the snack foods market in an effort
to counter the growing competition from cheap imports.
Growers and processors say they cannot compete with the cost of production in Tu
rkey and Iran to supply the lower end of the market.
Peter Jones from the Australian Dried Fruits Association says it is tough to get
space on the supermarket shelves, but there is consumer demand for healthier al
ternatives to chocolate bars and chips.
"Traditionally we've always been looked at as being an ingredient in fruit cakes
and breakfast cereals, so really we've got to go to the snacking market," he sa
id.
Australia bags rice deal to supply South Korea
Australia has negotiated a deal to supply rice to South Korea.
The quota is for more than 9,000 tonnes of white rice each year for the next dec
ade.
Sheep producers urged to make 'bare bum' check
Sheep producers are being urged to check for signs of 'bare bum' sheep in their
flocks, because new research shows the trait is more widespread than first thoug
ht.
The condition, where the breech of the animal is bare of wool and has less wrink
les than other merinos, was found on South Australia's Eyre Peninsula last year.
Australian Wool Innovation has been researching the trait to find out if it can
be passed on, and whether it could be an alternative to mulesing.
Head of sheep productivity, Dr Troy Fischer, says the sheep may also produce bet
ter wool.
"Like with any trait there's variation involved, but [it] essentially demonstrat

es there is potential to select for improved wool quality plus the bare breech t
rait," he said.
Court to hear AWB push to keep documents secret
The Federal Court has agreed to hear AWB's bid to keep 1,300 documents secret fr
om the oil for food inquiry.
'Shear' hard work pays off for Aussies in Canada
Australia has beaten the world at an international sheep shearing competition at
the Calgary Stampede in Alberta, Canada.
The Australian team of Rob Glover, from Bothwell in Tasmania and Jason Wingfield
, from Victoria, beat New Zealand, the United States and Canada in a test match
series over two days at Canada's biggest agricultural show, which attracts more
than 1.3 million people.
Mr Glover said it was great to get a win over the highly favoured Kiwis.
Farm group rethinks GM crops ban support
The New South Wales Farmers Association has withdrawn its support for a ban on g
enetically modified (GM) crops.
The association has passed a motion asking for the immediate lifting of the stat
e's moratorium on GM crops.
Grain producer Michael Matthews says it is a victory for progressive farmers.
"This is a technology that we have to have to be able to compete on the world st
age. Without this technology we're going to be sinking further and further behin
d," he said.
"This technology is all about producing greener crops, cleaner crops, healthier
crops, crops grown with 70 per cent less herbicide and are more friendly to our
environment.
Councils say water initiative hurting rates revenue
New South Wales local councils say they are facing a dramatic drop in rates reve
nue as a result of the National Water Initiative.
Under the water reform process, land and water titles are being separated which
is expected to cause a drop in rates for irrigated land.
Councils now have to come up with a new rating formula to make up the difference
.
The Nationals' Member for Murrumbidgee, Adrian Piccoli, is calling on the State
Government to give councils more time and more help to make the changes.
"The Victorian Government has postponed the implementation of these new council
rating structures by two years," he said.
Tradefresh launches takeover bid for Chiquita
A takeover bid has been launched for fresh fruit and vegetable company Chiquita
Brands South Pacific.
The bid has been launched by Tradefresh, a company owned by agribusiness giant T
imbercorp and the Costa Group, with an offer of 73 cents a share.
Market analyst Toby Grimm says the company's shares have traded much higher, but
have experienced a slump over recent weeks.
Foreign buyers warn Australian sheep too expensive
Overseas buyers of live sheep are complaining that Australian livestock prices a
re too high.
In the Middle East, importers are warning that live sheep from countries like So
malia and India are constantly undercutting Australian mutton in the marketplace
.
Jasem Al Dhahi from the Emirates Livestock and Meat Trading Company in Dubai say
s the price of Australian sheep has jumped four times in the past month, and his
customers are looking elsewhere.
"In the last four ships now, the prices get high, high, high," he said.
"I cannot in the future buy more sheep from Australia. In the past maybe I buy 1

5,000, the next ship I will say send me 7,000."

Meanwhile, another shipload of Australian live sheep has just been unloaded at t
he port of Jebel Ali, near Dubai.
About 12,000 are now being held at one of the Middle East's most modern feedlots
.
The feedlot is one of the most advanced facilities of its type in the Middle Eas
t.
The conditions are extremely hot at 50 degrees in the sun, but under the 34 hect
ares of shadecloth it is a more respectable 45 degrees Celcius.
When full, the housing facility can accommodate about 90,000 Australian sheep.
The most recent shipment arrive after a 16-day journey from Fremantle, with no e
vidence of foot soreness or too much heat stress, and are fed water that is spec
ially cooled by big refrigeration units.
Transport industry fears higher fuel costs amid Mid East crisis
The transport sector is bracing for even higher fuel prices, as a result of the
escalating crisis in the Middle East.
Analysts say it is only a matter of time before crude oil hits $US100 a barrel,
leading to bowser prices of about $2 a litre.
Luke Fraser from the Livestock Transporters Association says trucking operators
are already finding it hard to break even, and they will have to pass on the inc
reased costs, with flow-on affects for the farming and export sectors.
"It is going to be difficult, but I think that more than that it is probably goi
ng to affect the whole meat and livestock chain and indeed grains and anything e
lse that is being carried in the bush," he said.
Pork supplier plays down hepatitis A concerns
One of the country's largest pork suppliers says there is little risk of its cus
tomers contracting hepatitis A, despite one of its staff falling ill from the vi
rus earlier this month.
Toowoomba-based company KR Castlemaine Foods, in southern Queensland, is today a
dvertising product recall notices in all national newspapers.
Over the next two days KR Castlemaine is recalling 6,000 cartons of product from
across Australia.
The president of parent company Darling Downs Foods, Mike Adams, says the staff
member has recovered from the potentially fatal virus, which she contracted from
a friend visiting from overseas.
"Queensland Health has said that there is nothing wrong with any of the systems
or any of the ways we manufacture or produce the product," he said.
The recall will see 17 lines of ready-to-eat products including shaved and slice
d ham turkey and chicken replaced, and is expected to cost the company $500,000.
Bagasse project's potential excites mill manager
Yesterday morning you might have heard Gordon Edwards talking about his plans to
process and then sell Bagasse from the Mossman Mill to buyers in Japan.
Mr Edward's company Kristevefourspace has formed a joint venture with the mill a
nd the plan is to sell bagasse fibre as a healthy food additive.
He says there is a strong demand for bagasse because the Japanese Government is
pushing for an increased fibre content in school children's lunches.
Mr Edwards says if everything goes according to plan they should produce about $
17.5 million worth of bagasse fibre.
"We currently have a joint venture agreement with the mill where we pay for all
consumables with a percentage of gross on top so the mill can't lose out," he sa
id.
"The value of bagasse powder compared to raw sugar is ten to one.
"Basically 40-50 cents for raw sugar, $5 a kilo for bagasse powder."
He says one processing machine has already been installed at the mill and soon t
hree more will be in place.
Mossman Mill manager Alan Johnstone says he is excited about the bagasse project
's potential because the technology has already been trialed in Okinawa and he h

opes the Mossman trial proves equally successful.

Mr Johnstone says so far only a memorandum of understanding has been signed betw
een the mill and Kristevefourspace and nothing is in writing regarding the break
down of future profits.
Timbercorp, Costas launch Chiquita takeover bid
Agri-investment company Timbercorp has announced it is involved in a take-over b
id for mushroom and fruit marketing company Chiquita Brands South Pacific.
For the bid, Timbercorp has joined forces with the Costa family to form a compan
y called Tradefresh, which has offered 73 cents per share to buy out Chiquita.
The Costa group already owns 26 per cent of Chiquita shares.
If the bid is successful Timbercorp would end up with a 35 per cent share in Chi
quita and the Costa family the remaining 65 per cent.
Bananas only represent about 15 per cent of Chiquita's normal annual turnover an
d before cyclone Larry the company marketed about 12 per cent of all bananas sol
d in Australia.
Mushrooms are Chiquita's biggest commodity making up about 35 to 40 per cent of
its annual turnover, some from the Stanthorpe area in south-east Queensland.
Chiquita managing director Mano Babiolakis says he has only just heard about thi
s takeover bid so he has advised shareholders not to take any action until it ha
s been carefully assessed.
Timbercorp is a specialist investment management company involved in the Austral
ian horticulture and forestry industries.
Timbercorp's deputy CEO Sol Rabinowicz believes Chiquita would be a sensible add
ition to their portfolio.
"Both we and Costas believe that there's an opportunity to join together the str
ength of the Costa group as one of Australia's leaders in fresh produce, farm ma
nagement, packing, processing and marketing together with Chiquita's strengths a
s a category manager particularly in the area like berries, mushrooms and citrus
," he said.
"We think that it can sit together, they can become a more efficient operator."
Cape York Peninsula: the ideal training ground?
Some Cape York Peninsula cattle producers believe far north Queensland propertie
s offer the ideal training ground for young trainees into the industry and they
are appealing to the Government to support some sort of subsidised training sche
me.
The big side benefit would be properties could access much needed workers for dr
y season mustering.
Yesterday Greg Jenkins, from Strathburn Station, brought up the problem of worke
rs and how hard it is to recruit young people to cattle properties in far north
Queensland.
The problem is young people can earn more money elsewhere and compared to previo
us generations, Mr Jenkins believes the youth of today are less inclined to work
in remote areas.
Jay Willmann's family runs Yarraden station near Coen but they have only been th
ere three years after coming up from central Queensland.
Mr Willmann says on Cape York Peninsula properties the work is intense, varied a
nd exciting so young people learn the ropes a lot quicker than down south.
"I worked in central Queensland a lot, all over stations," he said.
"The biggest thing is they didn't have the variety of work that we have up here.
Farmers welcome EC assistance extension
Farmers across four states have welcomed the Federal Government's decision to ex
tend drought relief until next year.
Exceptional circumstances (EC) have been extended in 23 drought-declared areas i
n Queensland, New South Wales, Victoria and South Australia.
Under the scheme, farmers and pastoralists who are been battling drought receive
income and business support.
Tiffany Lord, from Yudnapinna Station west of Port Augusta in South Australia, s

ays it is impossible to underestimate the importance of the assistance.

"It's helped out keep us afloat, I'm sure that it's helping a lot of other peopl
e who are in the same predicament out this way," he said.
Canola crop estimates cut
The 2006 canola crop estimates have been reduced to 1.4 million tonnes - 50,000
tonnes down on last year.
The Australian Oilseeds Federation says late sowing in many areas, and cold, dry
weather during June has led to the lower forecast.
Businessman fined $1.2m over abalone trade
A Queensland businessman has been fined a record $1.2 million for his role in an
elaborate abalone trading ring.
David Wei Meng Lee was been found guilty in Hobart's Criminal Court of five coun
ts of illegally possessing abalone.
Between August 2001 and March 2002 the 49-year-old received consignments of drie
d abalone from Tasmania at his Gold Coast seafood retail outlet.
Lee is one of 17 people who were charged as a result of a police surveillance pr
ogram known as Operation Oakum.
The $1.2 million fine is the largest penalty imposed on any of them.
In handing down the fine, Justice Shan Tennant said she thought it unlikely Lee
would be able to pay it all.
'Contractual requirements' delay wheat shipment
There have been more delays in shipping wheat to India, with grain from Western
Australia under intense scrutiny to ensure it meets tough contractual requiremen
ts.
Quarantine concerns have held up two previous shipments to India this year.
The latest consignment is being loaded onto a ship at Esperance today, which has
been waiting in the bay for more than two weeks.
AWB'S Western Australian manager, Paul Ryan, says a combination of factors cause
d the delay.
"There's a very strict and extensive pre-testing and testing program before the
vessel is loaded that has to be adhered to under this Indian contract," he said.
Shipping delay to leave US retailers short of fruit
There is a looming shortage of Australian citrus in US supermarkets, after engin
e problems delayed the third shipment of this year's exports.
The ship was delayed in Port Adelaide by 12 days.
Steve Allen, from exporter Riversun, says it will be the first time market deman
d cannot be met.
"Unfortunately we will run out of fruit for probably a week or less, which means
that some supermarkets may go to South Africa but look there is a shortage of f
ruit in the United States," he said.
Productivity review results disappointing: Truss
State and federal-owned corporations dealing with road, rail, ports and other ex
port infrastructure are under-performing, according to a new analysis by the Pro
ductivity Commission.
Treasurer Peter Costello has seized on the report as another example of the need
for the Federal Government to take control of important national assets, althou
gh the Opposition says the Government's track record is woeful.
Federal Transport Minister Warren Truss says the review results are disappointin
g.
He says the mindset within government-owned companies has to change.
"Obviously we expect maximum performance from our services and our utilities - t
hat's essential to build a productive trading arrangement and to ensure that our
country is able to pay its way," he said.
"It is disappointing that some companies do not perform well,.
"Of course the very act of corporatising a utility doesn't make it profitable.

Audit report urges illegal land clearing test cases

A new report by the New South Wales auditor-general shows 40 per cent of the 74,
000 hectares cleared of vegetation last year was done illegally.
While satellite images are being used to provide accurate information for the fi
rst time, the report shows illegal clearing is not as widespread as conservation
ists have claimed.
Auditor-General Bob Sendt is warning farmers, particularly in western New South
Wales, that with new laws, the State Government is in a position to clamp down o
n illegal clearing.
"The Government and the Department of Natural Resources needs to make it clear t
o those elements of the rural community that want to continue to clear land ille
gally that the new legislation does have bite," he said.
Victorian water traders set new record
There is more evidence of growing agricultural water sales in Victoria, with a r
ecord amount of permanent water traded in the state's north-west last financial
year.
Almost 26,000 megalitres of additional water moved into the region, mainly from
upstream along the Murray River.
Owen Russell from Lower Murray Water says most of the new water is being used by
almond growers between Robinvale and Nyah.
"We've seen water come in effectively from out of the Goulburn Murray irrigation
district region," he said.
Rain boosts young cattle prices
Recent rain across parts of the eastern seaboard has helped to drive up cattle p
rices.
The Eastern Young Cattle Indicator, a benchmark of young cattle prices across sa
leyards in eastern Australia, jumped eight cents to 371 cents dressweight last n
ight.
AgConcepts Analyst Angus Brown says a tight supply of cattle and increased deman
d from producers has prompted the increase, which is likely to continue.
"Low supply always forces prices up as lot feeders looking for cattle and proces
sors looking for cattle and restockers are looking for something to put on the g
rass they are going to have in about a month," he said.
Australian, NZ dairy farmers share research costs
They might be rivals in international trade but Australian and New Zealand dairy
farmers are about to get a whole lot closer, with a new partnership to share re
search costs.
Following support from farmer organisations in both countries, Dairy Australia a
nd New Zealand company Dairy Insight will focus on improving pre-farmgate resear
ch, including industry development, education and training.
The head of the Australian Dairy Industry Council, Allan Burgess, says it makes
sense to reduce costs.
"We think there's very limited resources available for farmers and things we can
do together are going to be more efficient," he said.
New Middle East lamb exports record set
Australia has recorded its highest ever monthly sales figures for lamb to the Mi
ddle East.
In June, sales hit 824 tonnes - 100 tonnes higher than the previous record.
Ian Ross, the Middle Eastern manager for Meat and Livestock Australia, says the
quality of Australian lamb is recognised by supermarket and restaurant buyers.
"There's a great response now to the flavour of Australian lamb, and also there'
s a strong awareness of [it]," he said.
"We've been doing all we can now for some time to encourage the awareness of the
safety systems and the traceability, the integrity of the Australian halal syst
em because we are talking about a Muslim community.

Algae project wins renewable energy grant

A Queensland company trying to produce biodiesel from algae is among the recipie
nts of $10.5 million in federal grants for renewable energy projects.
Energy Minister Ian Macfarlane says Brisbane company SQC is getting $220,000 for
its work with algae.
"The algae produces an oil extract which can then be used for biodiesel," he sai
d.
The company wants to commercialise a process which could be suitable for farm da
ms and irrigation lagoons.
The biggest grant recipient is CSR Sugar's centre at the University of Queenslan
d, which has received $5 million for work to produce a new sugarcane with more f
ermentable sugar suitable to ethanol and biofuels.
Internet helps farmers recruit backpackers
Video conference technology is helping job agencies tap into the backpacker mark
et in Australia's far north-west.
One company has set up remote facilities in Broome, Western Australia, interview
ing travelling workers over the Internet and then employing them to work in the
farm sector.
One of the regions looking for workers is the east Kimberley, which looks set to
have a bumper mango harvest.
Grower Lachlan Dobson doubts local labour will meet demand.
"There's guesstimates going around at the moment that Kununurra mango production
might be up around 400,000 trays," he said.
Project Gold to tell farm families' stories
A youth arts project has been launched in southern New South Wales to stimulate
debate about water use and drought.
Under Project Gold more than 30 students will develop digital and media skills b
y working with the not-for-profit organisation BIG hART.
Spokesman Casey Ankers says their new skills will be used to tell the stories of
farm families from southern Queensland to northern Victoria.
"What we're looking at doing is skilling up the young people to work with us, wo
rk with the BIG hART artists and go out to rural communities and gather narrativ
es from rural families that have been affected by the drought," he said.
Countries aim to salvage trade deal
The world's most influential trade ministers are meeting in Geneva this weekend
to try to resurrect global free trade talks.
Six nations, including Australia, will be attempting to salvage a deal.
Australia's push to reduce trade barriers is receiving support from local meat i
mporters in Europe.
The Australian sheepmeat sector is pushing for an increase to the 19,000 tonne s
heepmeat quota in the European Union.
One of the biggest importers of lamb and beef into France, Claude Thieblemont, s
ays if import quotas were lifted, local consumption could double.
"France is very short of production, we supply 40 per cent of all needs and we i
mport 60 per cent of our lamb from abroad," he said.
"We would expect to import more from Australia because we like the Australian pr
oduct. French suppliers [are] buying five kilo per capita per year which is very
low and we could multiply this by two or three, easily."
Professor Andrew Stoler from the Institute for International Trade says world le
aders appear keen to agree to reforms after this week's G8 summit in St Petersbu
rg.
He says that should help to break the deadlock.
"What is going to move the process forward is not the sort of political directio
n that came out of the recent G8 meetings," he said.
"You can't really get any higher level than that unless God comes down and tells
them you have to get a deal.

Authority approves canola export licences

The Grains Licensing Authority (GLA) in Western Australia has approved three sma
ll export licences for 75,000 tonnes of canola aimed at higher priced markets in
Europe and the Middle East.
GLA chairman Wayne Obst says higher tonnages were not approved because crop pred
ictions are forecast to be dismal this year.
Two applications to send malting barley to China were knocked back because of th
e dry conditions in the west.
Mr Obst says the authority can easily prove the restriction on export licences w
ill benefit growers.
"These canola licences have gone to a higher priced market, that's been caused b
y the request for canola into the biodiesel market," he said.
Much needed rain falls on very dry regions
There is some hope for Western Australia's grain growers today after rain fell o
vernight in some very dry regions.
While it is too late for farmers in the large grain growing districts in the nor
thern-mid-west, moderate to good falls further south will boost thirsty crops.
Weather bureau forecaster Noel Puzey says the really good news is that a more wi
ntry weather pattern is setting in.
"There have been some reasonable falls to help people along at the moment, falls
range from about six millimetres at Dalwallinu in the Central Wheatbelt to 20 m
illimetres through some parts of the Great Southern and it is still moving throu
gh to the east so mainly southern districts can pick up a few showers around the
place," he said.
A group of Victorian farmers are developing a national grading system for biodie
sel to assure its quality.
With more and more farmers blending their own fuel, the Central Wimmera Communit
y Enterprise group says the system will quash concerns that biodiesel could dama
ge engines.
Chairman Peter Neiwand says once an Australian biodiesel standard is in place, t
he Federal Government will be lobbied to reinstate tax breaks.
US to scale back mad cow disease testing
United States Agriculture Secretary Mike Johanns says his department will scale
back its expanded testing for mad cow disease due to its extremely low rates.
Mr Johanns says years of expanded and normal testing shows the US is likely to h
ave four to seven infected animals and reducing current testing almost ten-fold
to 40,000 a year is still well above international guidelines.
Mr Johanns dismisses concerns the move will cause a new rift with Japan, whose f
ood safety body wants continued high US testing.
"We have bent over backwards with the Japanese, we've even agreed with them to s
hip only beef from animals under 20-months and that's a very unique, very, very
unusual agreement," he said.
Qld mining sector continues to boom
Queensland's mining boom continues to power ahead with the Queensland Government
nominating a large parcel of land for future mineral exploration.
Labor Member for Mount Isa Tony McGrady says nearly 3,500 square kilometres will
be offered under a tender system for prospective mining companies.
He says they will also get data showing deposits of copper, lead, zinc and silve
r.
"As a result of the work they now have information on mineral prospectivitiy in
an area of land bigger than the ACT," he said.
SAFF seeks help to boost membership
South Australia's peak farming body wants farmers to help boost membership level
s.
Only 65 farmers made the trip to a public workshop in Adelaide today to help red

irect the South Australian Farmers Federation (SAFF) into the future.
SAFF is asking farmers across the state to come up with ideas to make the organi
sation more relevant particularly to younger farmers.
The organisation's membership is falling there are currently 4,000 members while
there were 11,000 back in the 1980's.
Grower challenges importers to buy Aust coffee beans
An organic coffee producer from New South Wales is challenging Australia's three
main coffee importers to buy locally grown beans.
Australians drink nearly 50,000 tonnes of coffee a year and almost all of it is
imported.
Organic grower Cath Ford says the industry has to demonstrate the quality of loc
al coffee to consumers and coffee suppliers.
"Quite frankly people will buy commodity fair trade coffee over Australian coffe
e if we can not get across that the quality and flavour is different," she said.
"We need to get on our bandwagon and show that what we have is a supreme product
over other people's."
Scientists discover bug behind sheep mastitis
Scientists have discovered sheep mastitis is being caused by a different bug tha
n first thought.
The inflammation of milk glands kills 5 per cent of ewes in Poll Dorset, Suffolk
and Texel flocks each year.
Dr Stuart Barber from the University of Melbourne has found mannheimia is the mo
st common bacteria causing the problem.
It was previously thought staphylococcus brought on the disease, as it does in c
ows.
Dr Barber says this new information is crucial.
Sprouts can curb cancer: DPI
New research has shown eating the sprouts that are often found in mixed salads c
an help curb cancer.
The Queensland Department of Primary Industries (DPI) has investigated 22 differ
ent brassicas, including broccoli and cauliflower.
It has found sprouts can contain up to 200 times more of a chemical which helps
dissolve carcinogens, than mature vegetables do.
DPI physiologist Tim O'Hare says radish and broccoli sprouts rated the highest.
Program aims to get country kids talking about depression
A new program tackling depression in country schools is trying to encourage stud
ents and teachers to be more open about mental illness.
The beyondblue program comes as new research shows depression and suicide are th
e two biggest concerns for country kids.
And while students are most likely to turn to their families and friends for sup
port, it is hoped they will also open up to their teachers.
Queensland school counsellor Gary Quinn says students at his school are becoming
more willing to talk about depression.
"Most students, once they start doing something to say 'hey help me', they reall
y do want some help," he said.
Fergies flock to flood festival
The heroic feats of the famous grey Ferguson tractor are being celebrated in the
New South Wales town of Wentworth this weekend.
The Festival of the Flood will see 300 fergies of all shapes are sizes attending
to commemorate massive floods in 1956.
The fergies will be the stars of the show because they were used to build levee
banks to stop the rising floodwater and protect the town.
Fergie enthusiast John Reeves from Geelong will be there and can not wait to cat
ch up with others who share his passion.

Website to track drought impact

The Federal Government has unveiled its plan to make it easier for farmers to ap
ply for drought relief.
The national agricultural monitoring system is a website which will track how ma
jor agricultural regions are performing.
While state governments could take weeks or months to collate drought informatio
n under the old application process, John Sims from the Bureau of Rural Sciences
says the new system will take minutes.
"There's information on rainfall, there's information on how that rainfall affec
ts pasture and crop growth, and how that translates into impact on say farm fina
ncial performance over the last couple of years," he said.
Councils come to farmers' aid
With Western Australia in the grip of a dry year, local councils are looking for
different ways to help farmers who are struggling to grow a crop this season.
The Shire of Mullewa and the Shire of Chapman Valley will offer road works and c
ommunity project works to farmers, so they can generate an income.
Mullewa president Nino Messina says the council has received extra funding for r
oad works and employing farmers makes sense.
"The harvesting will come and farmers won't be able to do anything because they'
ll have no crop to harvest," he said.
The Queensland Nationals are calling on the Federal Government for better measur
es to protect regional media diversity under its proposed changes to media owner
ship laws.
The Nationals want the Government to set a mandate for local radio content and l
egislation to prevent a single company from owning more than two out of three ne
ws services in regional centres, including television, radio and newspapers.
But lecturer in media policy and research at the University of Western Sydney Dr
Tim Dwyer says the provisions in the Nationals' resolution fall well short of a
ny sort of guarantee to provide a diverse range of local news.
PigPass to identify food safety risks
Pork producers have welcomed a new identification system to trace animals from p
ig pen to plate.
PigPass is a national vendor declaration form which must accompany pigs being pr
ocessed for domestic and export markets.
It is being rolled out now and should be fully in place by January 2007.
David Miles from the Victorian Farmers Federation's pig group says any disease o
r food safety risks will be identified with the new pass.
"There's got to be traceback. If we haven't got traceability well we're not goin
g to be able to export or do anything professionally and it will control the ind
ustry, as I understand, and the VFF pig group we're quite happy with this," he s
aid.
Labor backs calls for quarantine system inquiry
The Federal Opposition has joined calls for an independent inquiry into Australi
a's quarantine system.
The call follows moves from the New South Wales Government and the New South Wal
es Farmers Association for a Senate inquiry.
Top End water region to be mapped
The last major unstudied water region of the Northern Territory's Top End is abo
ut to be mapped and modelled.
The Gulf region extends from Mataranka to the Gulf of Carpentaria and has a numb
er of large, permanently running rivers.
Over the next three years the Territory Government will uncover not only how the
aquifers and rivers interact, but also measure how much water the environment u
ses.
Project officer Ursula Zarr says they need to know how much water there is so th
ey can protect everyone's interests.

Committee chairman rules out renewed push for Hydro privatisation

The chairman of an New South Wales Upper House Committee looking at the future o
f the Snowy Hydro scheme has rejected reports that it will renew a push for priv
atisation.
The State Government ruled out trying to sell off its share of the scheme earlie
r this year, when the Federal and Victorian Governments pulled out of the plan.
Banana industry looks at cyclone-proofing
The banana industry is looking at ways to become cyclone-proof to avoid a repeat
of this year's shortage.
The Australian Banana Growers Council wants to strengthen smaller growing areas,
such as Western Australia's Gascoyne to ensure customer demand can be met.
Cyclone Larry wiped out most of north Queensland's crop in March, driving up the
price of available fruit.
Spokesman Tony Heidrich says markets and retailers need to allow smaller growing
areas to keep a foothold in the market once Queensland fruit returns.
"You'll never completely cyclone proof the industry," he said.
"But what we're saying is we've obviously got a real problem this time around in
having such a big cyclone knock out so much of our production.
No breakthrough in world farm trade talks
There is no sign yet of a breakthrough in last ditch world farm trade talks in G
eneva.
The G6, including Australia, Japan, the US and the European Union is meeting in
what is considered a final attempt to resolve five years of discussions about tr
ade reform.
Dairy co-ops increase returns to farmers
New South Wales regional dairy cooperatives have bucked the trend of the major m
ilk processors by increasing returns to farmers this season.
Norco and the Bega Cooperative on the north and south coasts have announced step
-ups in their milk prices.
Janet Moxey from the New South Wales Farmers Association has welcomed the move a
nd believes it could be due to a delay in passing on last year's high returns.
"I don't think New South Wales farmers have actually seen the flow-on of the goo
d times in Victoria last year," Ms Moxey said.
"Farmers in New South Wales locked into contracts for a 12-month period and didn
't see the step-up payments that were paid out in Victoria.
Egg farmer seeks tightening of free-range legislation
Consumers are being warned that eggs marked 'free-range' could actually come fro
m caged birds.
Some producers claim that some farmers are falsely labelling their eggs and are
urging consumers to look out for accreditation from an independent authority lik
e the RSPCA.
Free range farmer Tom Fryar has told ABC TV's Landline program that there is no
legal definition of the term free-range and legislation should be tightened.
Book to focus on mothers and daughters-in-law' relationship
The relationships between mothers and their daughters-in-law on family farms is
set to go under the microscope in a new book by a South Australian author.
Abi Spehr, from Beachport in South Australia, says introducing a new person into
an established family business can be traumatic regardless of whether the two w
omen get along.
She says there has been little research done on what can be a difficult relation
ship and it is time there was.
Tas vodka wins international awards
A Tasmanian distillery which exports vodka to Russia has won two international a

wards at the Wine and Spirits Fair in London.

The Tamar Distillery, at Beauty Point in northern Tasmania, received bronze meda
ls for its citrus-infused dry gin and Tasmanian pepperberry vodka.
Manager Phillip Ridyard says Tasmania's pristine water helped the company to cra
ck into the tough Russian market.
"The primary reason is the water and the selection of the water because the cruc
ial part of vodka is low calcium," Mr Ridyard said.
"And we produce three blends using three waters, one from the west coast, one fr
om near Scottsdale and a sample from York Town.
"We then held a blind tasting with a group of expatriate Russians.
Wine glut blamed for price drop
Wine prices have hit an all-time low, with a major supermarket chains selling bo
ttles of clean skin chardonnay and merlot for $2.00 a bottle.
The move has sent shockwaves through the battling industry, with the wines norma
lly selling for $6.00.
The massive discounting is being blamed on the wine glut and follows a trend set
in the US in 2003.
Chief executive of the Wine Makers Federation of Australia Stephen Strachan says
it is a very worrying development.
"I don't think anyone in the industry would've expected that we get to that poin
t," he said.
"What it does is it undermines the strength of existing brands and it means that
the temptations for those brands to try and meet similar price points is there
because they obviously want to be able to sell their wine.
Farmers warned to watch out for food mile phenomenon
Australian farmers have been warned to take note of a new consumer trend in the
United Kingdom.
Companies who import Australian beef into Britain and the European Union are war
y of the new phrase 'food miles' which could be used to limit imports into that
country.
Food miles refers to the growing practice of importers and supermarket chains st
acking their shelves with exotic items from around the world.
The criticism is they are chewing through too much aircraft and truck fuel in ge
tting them there, thereby increasing carbon emissions.
Retail manager from Global, UK's biggest meat importer and also an importer of A
ustralian beef, Bob Rose, says we need to keep an eye on the food mile phenomeno
n.
"In the UK at the moment, global warming is a very big issue," Mr Rose said.
"And one of the issues that has raised its head is bringing product from around
the world, and the costs of the carbon emissions to the environment of bringing
that product from around the world; would it not bet better sourcing locally-pro
duced product?
Uranium conference to discuss Labor backflip
A bid by Labor leader Kim Beazley to dump his party's opposition to new uranium
mines is expected to be a major talking point at the annual Australian Uranium C
onference in Perth this week.
Three hundred uranium experts, including 30 delegates from China, are at the con
ference.
Uranium Information Centre chief executive and conference delegate Ian Hore-Lace
y says a major change in political opinion could lead to Australia exporting mor
e uranium.
With current exports going to Korea, Europe and Japan he says the next two big c
ustomers will be China and India.
"China is quadrupling its nuclear capacity by 2020 and it's going to need to imp
ort most of the uranium to fuel that," he said.
"India is another possible country but that's much further out.

Draft timber harvesting regulations anger landowners

Landowners in New South Wales are angry at the State Government's draft regulati
ons for timber harvesting in privately-owned forests.
The result of years of debate, the code of practice aims to protect rare timber
species, and wildlife and biodiversity, on farms.
But it does not include compensation for landowners.
Robert Dyason, a tree grower in the state's north, believes the draft code is a
missed opportunity.
"We could have been presented with a complete package of code, education and com
pensation for reserved areas, it would have promoted adaptive management with pr
ovision for improvement in management as knowledge improved," Mr Dyason said.
Fire and factory closure leaves 100 jobless
Almost 100 jobs will be lost with the closure of a fibre board factory in Tasman
ia's north.
Carter Holt Harvey has announced it will shut down its Bell Bay plant, which pro
duces the building product MDF.
Operations there were suspended a month ago after a multi-million dollar fire.
Andrew Eastick from Northern Tasmanian Development says it was a difficult decis
ion.
"The plant has always been marginal and one of the difficulties for the plant is
the market for MDF has moved on, it produces a material which is only able to b
e manufactured down to a certain thickness," Mr Eastick said.
"Is the plant able to be re-engineered so that it can produce an MDF material th
at can attract a premium?
Fungal disease could wipe out WA wheat crops
A disease that can completely wipe out wheat crops appeared for the first time t
his season in Western Australia.
The fungal disease stripe rust, which can reduce crop yields by up to 90 per cen
t, has been spotted in the state's south, near Esperance.
Agronomist Phil Smyth says farmers are growing wheat varieties with better resis
tance to the disease but this outbreak could be similar to the epidemic of two y
ears ago.
Two confirmed cases of Q fever in NSW border city
Victoria's Department of Human Services has confirmed two cases of Q fever in th
e border city of Wodonga.
A third person is suspected of contracting the disease, which causes heavy flu-l
ike symptoms.
People working with livestock are usually most at risk of the disease, although
the two confirmed patients do not work with livestock.
Director of population health in Albury, Tony Kolbe, says it is unusual, but not
impossible, for people who do not work with animals to become ill.
Average rainfall expected right across Australia
The Bureau of Meteorology says most of Australia looks set for average rainfall
over the next three months, although the north-east could be drier.
The bureau says there is a 60 to 80 per cent chance of below average rain in the
region from Daly Waters in the Northern Territory, south to the corner country
and across to Rockhampton in Queensland.
Elsewhere there is a 50 per cent chance of at least average rainfall between Aug
ust and October.
Producing, manufacturing costs higher than expected
The costs of manufacturing goods and growing produce have risen higher than expe
cted, adding more weight to a forecast interest rate rise next week.
Theoretically the big price increases for producing bananas, grains, beef, sheep
and dairy products should mean a pay rise for farmers.
But the ANZ bank's chief economist Saul Eslake says the jump in producer prices

reflects a lack of supply due to weather conditions, higher fuel prices, and int
erest rates.
"Drought has constrained grain supplies, the long-term reduction in sheep number
s across Australia has been a factor in rising meat prices, rising beef prices a
re partly due to the very good prices that Australian producers have been gettin
g overseas and sugar prices have roughly trebled," he said.
Black truffles yields 'fantastic'
The black truffle industry is enjoying its best ever season.
Low yields have plagued growers in recent years but Tim Terry from Tasmanian Tru
ffle Enterprises says his harvest has tripled this season and it is a similar st
ory around Australia.
"There are certainly some very good yields on the mainland and in Western Austra
lia there have been some fantastic yields of much older plantations of course,"
Mr Terry said.
Suspension of trade talks costing farmers
The National Farmers Federation (NFF) says the overnight suspension of world tra
de talks has cost Australian farmers $1.5 billion in potential new markets.
The G6 group of nations including Australia, Japan, the US and European Union fa
iled to resolve five years of discussions about agricultural trade reform.
Scott Mitchell from the NFF says the US failed to agree to further subsidy cuts,
while Europe would not drop its import barriers.
"All Australian agricultural industries are extremely disappointed at the suspen
sion of the WTO [World Trade Organisation] negotiations overnight," Mr Mitchell
said.
"This is a huge lost opportunity for Australian farmers to lock in the eliminati
on of export subsidies, to lock in significant cuts in agricultural subsidies be
ing spent around the world and to lock in actual improvements in market access."
Meanwhile Nationals leader Mark Vaile has played down speculation that he will n
ow hand the trade portfolio over to Federal Agriculture Minister Peter McGauran.
"I think that there's still a lot more that can be done, as we've got quite a bu
sy agenda on the bi-lateral front with negotiations well under way with China an
d Malaysia and the ASEAN [South East Asian Nations] countries and I'm certainly
keen to pursue those," Mr Vaile said.
US farmers say they will fight to retain their current level of subsidies, now t
hat the trade talks have stalled.
Lobby group, the US Farm Bureau, says farmers are not prepared to give ground un
til Europe offers more concessions.
The group's spokesman, Chris Garza, says internal debate will now begin on the n
ext US farm bill due next year, and farmers will attempt to lock in subsidies.
"What we've seen is, as these negotiations have gone on countries like the Europ
ean Union has requested more and more from the United States to give up," Mr Gar
za said.
"We feel as an organisation that there's no reason to give up anything at this p
oint. which means we should not make any changes to our farm bill so that when t
hese negotiations do begin again, we're still where we were before, and we still
have something to give up if we have to give something up."
America's top trade official says the collapse of global trade talks means the U
S presidential trade deal authority will now likely expire, before any WTO deal
can be saved and sent to the US Congress.
There has been a US push to complete a new world trade deal this year leaving en
ough time for the US Congress to ratify it before the presidential trade deal au
thority expires next July, when the body could again amend any deal possibly kil
ling it.
US trade ambassador Susan Schwab says the worst will now likely happen.
"We do not expect to be able to use the current TPA [US Trade Promotion Authorit
y] to enact a Doha Round agreement, if and when one comes together," Ms Schwab s
aid.

Rare butterfly found in Arnhem Land

A rare and endangered butterfly in north-east Arnhem Land is now a bit safer.
The gove crow butterfly was previously thought to live in only four small patche
s of rainforest, but now a fifth location has been confirmed.
Naturalist Ian Morris says he first saw the butterfly 30 years ago, but was only
recently able to confirm it was the gove crow.
"It certainly extends its range by a few hundred kilometres, but probably doesn'
t stop them being an endangered or threatened species simply because the habitat
they live in is so restricted and unique that any disturbance to that could soo
n cause a crash in their population," he said.
Church offers support to stricken farmers
Farmers in the driest parts of Western Australia are hoping for some divine inte
rvention this week.
Anglican Archbishop of Perth Roger Herft and regional Bishop Tom Wilmot are tour
ing the mid-west and wheat belt, to meet with farmers and offer support.
Bishop Wilmot says the turnout has been huge so far.
"One farmer said that it's a bit like grief or having a death in the family, but
there's no burial, because every day you stand on the porch and you look out at
the body, as it were," he said.
"I can sympathise with that because these people identify very closely with the
land. There is a level of grief there, but as with all grief, it draws families
together.
Drought officers angry over job loss
Community drought officers in Victoria's Wimmera region are at a loss to explain
why their jobs have been cut.
Three of the four positions are no longer being funded by the Victorian Governme
nt, even though the drought is lingering across the region.
Former community drought officer in Yarriambiac Shire, Faye Smith says they met
with the Department of Human Services and the State Drought Committee in Horsham
yesterday but still do not know if they have a job.
"I was totally amazed," she said.
"To me it just seemed the strangest decision and now more than ever the communit
y strengthening is needed.
"I cannot understand why the State Government would make the decision to wipe ou
t the position when, as most people will tell you, that the situation now is pro
bably as dire as it's ever been."
SA loses rural counsellors
The number of rural financial counsellors in South Australia will be scaled back
, following changes to the way the service is provided.
The Federal Government spent two years reviewing the program and opened up tende
rs for a single, state-based provider in April.
The service will now be run by the newly formed Rural Financial Counselling Sout
h Australia.
Spokesman John Voumard says it will allow counsellors to be allocated to areas o
f need.
"There are periods of demand and they occur at different times in different area
s," he said.
Uranium shortage forces commodity price up
As Australia debates the merits of opening up new uranium mines, analysts say a
global shortage of the commodity is pushing up prices.
The spot price for uranium has jumped $US2 in the past week to $US47.25 per poun
d.
ANZ Bank commodity analyst Andrew Harrington says half of the world's nuclear po
wer is currently sourced from recycled nuclear weapons left over from the Cold W
ar.
He says Australia's massive reserves of uranium are in high demand for nuclear p

owered plants, because recycled uranium is running out.

"Mostly it was to do with the renewed interest in uranium as a commodity, becaus
e the recycled uranium from nuclear weapons is starting to decline, so the prima
ry source of uranium coming from mines needs to make up for that shortfall," he
said.
Quarantine boost following marine pest find
The increased threat of an exotic marine pest has prompted Northern Territory au
thorities to strengthen offshore quarantine measures.
The black-striped mussel has been found twice in the past week on seized illegal
fishing vessels inside Darwin Harbour.
The pest was found after the boats were moored.
Territory Fisheries spokesman Peter Zeroni says quarantine checks will now be do
ne five nautical miles offshore.
"As a result of events that occurred last week, we have made a decision as an in
terim measure to now inspect all vessels out at the five nautical mile buoy in o
pen water, where the risk is less," he said.
"The risk at 1.5 is low due to it being an open-water environment ... however, a
s a precautionary measure we have moved the boats now further out.
"From an NT Fisheries perspective, the risk is manageable where they are. We are
concerned about the NT's internal waters, waters within three nautical miles an
d probably out to 10.
"We have a strong interest in ensuring those waters are free of aquatic pests."
Grain prices rise as US turns to ethanol
The rising cost of fuel in America is having a positive impact on Australian whe
at prices, according to an agriculture publication.
More consumers in the US are turning to corn-based ethanol, increasing corn cons
umption by 15 per cent to 60 million tonnes and boosting prices by up to 20 per
cent.
Richard Koch from Profarmer says the US corn price sets the basis for the global
feed grain market, which will have spin offs for Australian wheat and canola gr
owers.
"I've seen some analysis that indicates the value of soft commodities in the med
ium-term could increase six-fold," he said.
AWB legal battle back before court
The legal battle over the future of the oil-for-food inquiry is back in the Fede
ral Court today.
This time a challenge has been initiated by Commissioner Terence Cole, who does
not want to participate in the case about AWB's claim to withhold documents from
his inquiry.
The Commissioner's lawyers are asking the court to determine the legitimacy of A
WB's claim of legal professional privilege over 1,300 documents.
Farmers seek better food label laws for online shopping
Farmers say an oversight by Australia's peak food regulator is allowing fruit an
d vegetables to be sold on the Internet without new country-of-origin labelling.
Food Standards Australia New Zealand (FSANZ) introduced the tougher labelling la
ws last month after farmers fought for imported food to be clearly identified.
However, with major supermarkets now offering online grocery sales, the rules do
not apply.
Brian Bond from the Tasmanian Farmers and Graziers Association says FSANZ should
have identified the issue.
"It's obviously been an oversight by Food Standards Australia and New Zealand an
d it's something that certainly needs to be looked at and if we can plug the gap
we should," he said.
"We need sales and I guess this area of sales is going to increase rather than d
ecrease so it's certainly something that needs addressing."
Lydia Buchtmunn from FSANZ says the issue has not been overlooked.

"Actually we've been addressing that for quite a long time we've been looking at
the whole labelling standard to look at things perhaps that are home delivered,
" she said.
US producers weary of resumption in Japan trading
Cattle producers in the United States are not hopeful of a quick resumption of t
heir beef trade to Japan, despite a successful tour of US meat plants by Japanes
e inspectors.
The beef trade is awaiting confirmation that US beef will again be allowed into
Japan after a two-year bovine spongiform encephalopathy (BSE)-related ban.
The ban was lifted late last year but reimposed after early shipments were found
to contain traces of spinal cord.
Jay Truitt, from the National Cattlemens Beef Association, thinks many producers
and processors might not want to supply Japan again.
"I think there's some excitement, obviously, it's tempered, because history has
been a good teacher for us, that we shouldn't get too excited," he said.
"More importantly though, from our perspective, is that we really look at our in
dustry and we begin to now look sincerely at what are the opportunities for us i
n Japan and they're still quite limited and we're not going to over prepare for
it, it's an expensive market for us to function.
No growth predicted for south-west WA pastures
The CSIRO says pasture growth rates in Western Australia's south-west are shapin
g up to be the worst in nearly 100 years.
New satellite data shows growth rates are expected to be down 60 per cent on las
t year, due to abnormal weather patterns.
The CSIRO's Dr Steve Gherhardi says, as a result, many farmers have reduced stoc
k numbers to give paddocks a spell.
"Even now, if farmers have had a break, they'd need to make decisions on how lon
g they would want to defer that pasture to ensure that they'll get some growth o
ccurring," he said.
Drought, costs force farmers to cut water usage
The number of irrigated Australian farms has dropped a further 13 per cent, acco
rding to a new report by the bureau of statistics.
In the year 2004-05, just over 35,000 Australian farms used irrigation, down 5,0
00 on the year before.
The report shows less water is being used to grow pasture and rice, although mor
e is going into growing cotton.
Doug Miell from the New South Wales Irrigators Council says the fall is partly d
ue to drought, but also because of high water prices.
He says many irrigators are focusing on crops, which give them a higher return,
or selling their water.
"There's obviously a consolidation happening right across agriculture in the irr
igation sector, there's no difference in that regard," he said.
Wool companies look at partial integration
The boards of Australia's two peak wool companies are still talking up the indus
try's future despite now having to look at ways of joining forces without a full
merger.
Plans to unit Australian Wool Services (AWS) with Australian Wool Innovation are
on hold while the Federal Government decides whether to help AWS pay off a $27
million overseas debt.
Chairman Barry Walker is hopeful the Government will come to the rescue, but say
s the two companies are looking at how to integrate parts of their organisations
anyway.
"There are certainly major savings in running a single company," he said.
Public interest tests urged before hospital closures
The Australian Medical Association (AMA) wants all state governments to introduc

e public interest tests before downgrading or closing any more public hospitals
in rural areas.
The doctors' lobby group says after years of neglect, governments should do what
ever it takes to keep country public hospitals open and properly staffed.
AMA rural reference group chairman Dr David Rivett says the test should examine
how closures affect the health needs of residents, local employment and the avai
lability of other health services.
"We want to see the impact on the maintenance of skills of the medical workforce
factored in, the impact on the health needs of the local communities and that i
ncludes the social dislocation they have when they have to travel many miles to
seek treatment," he said.
"We want to see the impact of employment on the community when people have to tr
avel with sick children to the cities and give up their jobs for days or weeks,
and we want to see the availability of alternative resources all factored into t
he equation."
US lamb market set to slow down
There is a warning for lamb producers today that growth in the US market is set
to slow down over the next year.
Sales of our lamb to the US grew by 28 per cent between 2004 and 2005 to become
Australia's highest value market worth $327 million.
But Shane O'Hara from the Australian Lamb Company says exports are under pressur
e from similar factors to here, like competition from cheaper meats like chicken
.
"We've seen some higher fuel costs, that's having a big pinch on disposable inco
me," he said.
US blames Europe for collapse of trade talks
The blame game has started following the collapse of the Doha world trade talks.
Key nations have failed to agree on how to cut farm and industrial tariffs, and
US Agriculture Secretary Mike Johanns is blaming Europe's refusal to let more be
ef in.
But Andrew McCallum from Meat and Livestock Australia says the trade talks did n
ot detail individual agricultural products.
"I think what Johanns has done has just highlighted the beef issue as an example
," he said.
Fruit wholesaler says banana returns increasing
A leading Queensland fruit wholesaler says he is surprised that bananas are bein
g blamed for a higher than expected rise in inflation.
Economists blame skyrocketing banana prices, as well as fuel costs, for the 1.6
per cent jump in the June quarter Consumer Price Index.
More than 90 per cent of the Australian banana crop was wiped out earlier this y
ear when cyclone Larry hit far north Queensland.
Peter Kedwell from the Brisbane Markets says while volume is down, returns are a
ctually up.
"Bananas [on] average used to be around $15 to $20 a box, now it's $150 a box,"
he said.
Livestock transporter wants more rationalisation
There are calls today for more rationalisation and enforcement of legislation in
the livestock transport sector.
Jim Cooper is the departing owner of the nation's largest livestock trucking fle
et, Road Trains of Australia.
He has just sold his livestock fleet to another operator and believes it was a n
ecessary step.
Mr Cooper will keep his other transport business and concentrate on the growing
resources sector.
"The way the mining sector's regulated ... yes we can work within the legislatio
n and compliance within the mining industry," he said.

"I certainly see some of the services for the remote area cattle haulage pulling
back. I think a lot of the road trains, whether they are RTA or Hampton's, oper
ate very much like a taxi rank.
Trip may have cleared up river diversion concerns
Local Aboriginal people may now be more open to the idea of expanding a Northern
Territory lead and zinc mine.
Xstrata is currently seeking environmental approvals to move the McArthur River
five and a half kilometres, so its mine can become an open-cut operation.
The company recently took a group of traditional owners to a coal mine in Victor
ia to see first hand what river diversion involves.
John Moriarty, the chairman of the Borroloola Community Reference Group, thinks
the trip might have cleared up some concerns.
Farmer hopes assistance package will keep town afloat
The Western Australian Government has announced an assistance package for farmer
s in some of the State's most severely drought-affected regions.
Farmer Glenn Thomas was one of 150 locals at a dry season crisis meeting in the
wheatbelt town of Mullewa yesterday.
Although details of the package are not yet known, Mr Thomas hopes it will help
to keep his community afloat through the worst farming year he has ever known.
"There's different situations throughout the shires. There's many in the outlyin
g areas that have really only had one good season in the last five or six and, r
eally, that's just not enough to get back on your feet," he said.
Mental health concerns switch to young people in rural areas
The National Mental Health Initiative has raised concerns about the lack of info
rmation available about how the drought has affected young people in rural Austr
alia.
Craig Hodges from beyondblue says the last survey was carried out in the late 19
90s and data is up to 10-years-old.
He says the spin-offs from the drought are significant, with about a quarter of
young people affected by depression, anxiety and other mental health issues.
"We only get this data every five to 10 years and the last one that was taken wa
s in the late 90s which showed there was roughly one in four young women experie
ncing depression and one in six young men experienced depression," he said.
"They see what is happening with their parents, how parents respond to tough tim
es on the farm and that also may mean there's less disposable income so that mig
ht mean they can't do the things they once did, so the spin-offs are quite signi
ficant."
The drought is also affecting young peoples choices at school.
At Redbank Catholic College in the west of central New South Wales, 68 students
from across the state are studying agriculture in their final years.
Just a few say they will go onto work in the sector.
AWB announces restructure
Wheat exporter AWB has announced a further restructure to improve transparency b
ut says it is not a result of the oil-for-food scandal.
Under the plan AWB International, which holds the licence for the single desk fo
r exports, will be further separated from the company's corporate division.
It will have an independent board and management team, and its own governance an
d committee structure.
AWB chairman Brendan Stewart says the change is a result of feedback from grower
groups and growers and is not a knee-jerk reaction to the Cole inquiry.
"These changes that we are making have absolutely nothing to do with the Cole in
quiry, these are changes that we have initiated 18 months ago," he said.
"They have been a long time coming, they have been a process of detailed analysi
s and impact so that we delivered on the key promise that we gave to growers."
Mr Stewart rejects any suggestions from grower groups that it is too little too
late.

"I don' think that's the case at all," he said.

Grains analyst Malcolm Bartholomaeus says there are major flaws in the restructu
re because the wheat sales division will not be part of AWB International and st
ill will not be accountable enough.
"One of the implications is that the situation we've seen with the Iraq inquiry
and the scandal there, and potentially the allegations of other payments being m
ade in other market places, basically that could still happen again and put the
single desk at risk with no control over the situation by AWB," he said.
AWB has rejected the suggestions.
Meanwhile AWB has cut its estimated before-tax profit by between 20 to 25 per ce
nt.
The company says the drought has led to lower merchandise and fertiliser sales,
and results have also been affected by difficult ongoing trading conditions and
volatile world markets.
Profits for the year ending September 30 are expected to drop from a forecast $1
84.5 million to around $140 million.
Wool companies sign merger MOU
Australia's two peak wool companies will press on with a merger, despite an outs
tanding $27 million debt.
Australian Wool Innovation (AWI) and Australian Wool Services (AWS) have been in
long-running talks about a merger, but the stumbling block has been AWS's outst
anding debt to a UK-based superannuation fund.
The two companies have now signed a memorandum of understanding to look at the l
egal and financial implications of integration with work to start immediately.
The Federal Government had been approached to help pay off the debt, but the com
panies now say they will work together to solve the issue.
Producers told not to panic over Japanese beef decision
Japan has lifted its ban on US beef but the experts say Australian producers do
not need to panic just yet.
Japan will only accept US beef under 20 months of age and from a limited number
of accredited meat plants.
Meat and Livestock Australia says Australian exports to Japan should remain stea
dy at around 390,000 tonnes a year.
Malcolm Foster from the Australian Lotfeeders Association does not think the US
will pose any short-term threat and says other markets are available anyway.
"The alternate markets to Japan are obviously other Asian markets, in particular
Korea, Taiwan and those markets, although markets in the Middle East and even m
arkets in Russia are starting to open up now for Australian exporters," he said.
"So there are other markets but Japan will always be a very important one for us
."
US cattlemen are upset over the tough restrictions imposed by Tokyo.
The National Cattlemen's Beef Association argues Japan's partial reopening is ju
st a first step toward full resumption of trade worth $US1.4 billion, before Ame
rica lost the market to Australia following a 2003 mad cow case.
The association's Jay Truitt says Tokyo's limits on US cattle age and number of
plants that can ship is far too restrictive.
"Everyone of these restrictions adds cost to the system - that's not what we wan
t," he said.
Food prices hit 15-year high
Australia has posted its biggest increase in food prices in 15 years.
Rabobank says the figures, which are being blamed for a big jump in inflation, s
how an 8.3 per cent rise in food costs.
But head of food and agribusiness research Bill Cordingley says the rise was mai
nly driven by soaring banana prices, with fruit prices up a stunning 52 per cent
for the June quarter.
Prices rose for citrus fruit, apples, melons and strawberries, due to consumer d
emand for an alternative to bananas.

AWB restructure not enough, says US lobby group

America's peak grains lobby group claims a major restructure announced by wheat
exporter AWB is just for show.
AWB has announced a multi-million dollar plan to separate its export arm AWB Int
ernational from its corporate division.
As part of a push for better corporate governance, AWB International will contin
ue to manage the single desk for wheat exports, but have its own management team
and board.
Rebecca Coleman from US Wheat Associates says it still wants the AWB's monopoly
on exports removed.
"US wheat does not think that it is going to make a difference, we think that it
's just another show game and a shifting of boxes," she said.
"US Wheat's concerns has always been the power of the monopoly board, the way th
at they function in distorting trade and so a shifting of boxes around doesn't c
hange the monopoly structure."
Australia's peak body, the Grains Council, will not comment on AWB's restructure
plan.
In the wake of yesterday's announcement, AWB shares fell by 33 cents but recover
ed to finish at $3.85, just five cents below the opening price.
There has been little movement on the company's share price today, and Austock A
gribusiness analyst Paul Jensz says the market has reacted positively.
"With this restructuring I think investors probably look at it as a first small
step of a long road of recovery," he said.
"Investors broadly are saying that this level around $3.50-$3.90 is the bottom o
f AWB at this point."
Crop forecasts
Winter crop forecasts in the eastern states have had a remarkable turnaround due
to recent widespread rain.
Grain handler, Graincorp, says early prospects for this season were dismal, but
after late breaks in June and July, it is expecting receivals of around 9 millio
n tonnes.
Managing director Tom Keene says that is on par with the past two seasons.
"Victoria around 3 million tonnes and around 5 million tonnes in New South Wales
, Queensland we would expect to get around 1 million tonnes," he said.
Biofuels Institute to be based in SA
Alternative feedstocks to supply the growing alternative fuels industry will be
the focus of a new federally-funded Australian Biofuels Institute.
Ad campaign to highlight abuse of migrant visa program
The union movement has launched a campaign to highlight misuse of the skilled mi
grant visa program.
Under the 457 program, employers like abattoirs can import skilled workers when
they can not be found locally.
Unions have now launched a $300,000 ad campaign highlighting abuses of the schem
e and Graeme Bird from the Meat Industry Employees Union says they want action.
Govt urged to stop river environmental flows
Water shortages in western Victoria are now so severe that farmers are asking th
e State Government to halt environmental flows into rivers.
With reservoirs only 7 per cent full, farmers are facing the prospect of no avai
lable water to fill house dams and paying to cart the water they need for livest
ock and crop spraying.
President of the Victorian Farmers Federation Simon Ramsay says if there is not
enough rain in August, water for rivers should be re-allocated to farms and home
s.
"The 2,859 megalitres that sits under the bulk entitlement for environmental flo
ws would be better used and have a greater impact to provide water for stock and

domestic use, if needed, rather than the sort of nil effect it will have flushi
ng down the Wimmera River," he said.
Meanwhile Australia needs five years of average rainfall to rebuild water levels
in irrigation storages.
That is the view of Professor Wayne Meyer, chief scientist at the Co-operative R
esearch Centre for Irrigation Futures.
Irrigators have not had full water allocations since 2001 and Professor Meyer sa
ys ongoing low rainfall has reduced the amount of water available by a third.
"If you look at the storage situation it will take several years of even average
rainfall to get our storages back up to those, for example, that we had at the
end of the 90s, early part of 2000," he said.
McGauran joins push to lift ban on GM crops
There is growing pressure on the states to lift their bans on commercial trials
of genetically modified (GM) crops.
State governments have powers over land which they have used to impose the bans.
Now federal Agriculture Minister Peter McGauran has joined farm groups in callin
g for the moratoria to be lifted, saying there are environmental and economic be
nefits from the technology.
"I believe the states' opposition to genetically modified crops is purely philos
ophical or ideological, it makes no economic or environmental sense," he said.
"Farmers should make the decision for themselves based on their reading of the m
arketplace.
New patrol boat to join illegal fishing fight
A new Navy patrol boat designed to monitor Australia's northern waters for illeg
al fishing will be commissioned at Port Pirie in South Australia tomorrow.
The Armidale class ship, to be called HMAS Pirie, is the latest in a new fleet o
f ships dedicated to border security operations.
Lieutenant Commander Kimbal Dunsmore, commanding officer of the new vessel, says
the Navy is now much better equipped to intercept and board illegal fishing boa
ts.
"These ships have cutting edge technology. They are a very, very complex machine
that offer better endurance, better habitability, longer time on task and a bet
ter capability," he said.
Abattoir fish project likely to expand
The first attempt at growing fish in waste water from abattoirs has been success
fully carried out in South Australia.
The lamb exporter, Tatiara Meat Company, uses about 1 million litres of water a
day in its operations.
Most of it is recycled, but waste water held in storage ponds is now being used
to grow goldfish, barramundi and carp, purifying the water so it can be used to
grow fodder for livestock.
Environmental officer Fil Farina says the project is likely to expand.
Qld police investigate crop sabotage
North Queensland police are investigating the sabotage of crops in the horticult
ure district of Bowen.
Crops have been deliberately poisoned on four farms, causing a million dollars'
damage to paddocks of watermelons, beans, tomatoes and capsicums.
Bowen company Queensland Seedlings lost thousands of plants in a similar attack
in 2002, and no one has ever been charged.
Spokesman Andrew Paterson supplies seedlings to some of the affected farmers and
says the damage has created a lot of fear and uncertainty.
"Basically someone out there, or persons, or person, I don't know, is holding us
all to ransom," he said.
PM visits cyclone Larry affected communities
Prime Minister John Howard is in north Queensland today to meet victims of cyclo

ne Larry, visiting communities between Innisfail and Tully.

Banana growers who had their crops wiped out will ask the PM to extend labour su
pport schemes.
US drought hits sheep flock
The drought in the United States has not just hit the grain crop.
The latest US Department of Agriculture figures have shown the nation's sheep fl
ock has fallen by 30,000 to 7.7 million head, denting hopes that numbers were re
building.
Meat and Livestock Australia says that is likely to increase US reliance on impo
rts from countries like Australia for a number of years.
Qld shearer wins Diamond Shears comp
A shearer from southern inland Queensland has won the the Diamond Shears competi
tion, run for the first time in five years at Longreach over the weekend.
Once regarded as the most prestigious shearing event in the southern hemisphere,
organisers have battled insurance problems but managed to attract shearers from
three states and New Zealand for this year's event.
Winner Laurie Bateman says he hopes it will help entice more young people into t
he wool industry.
"I think if we can keep these sport shearing competitions going, we may be able
to entice a few more rural people out of the towns to come into our industry," h
e said.
"I can see it being the best show in Australia down the track. Anybody can shear
a sheep or come into a shearing shed, wool handle, press, class, if you are fit
and keen enough to get out there and earn a bit of money."
Meat industry agreement to tackle skilled visa abuse
The Australian Meat Industry Council is trying to stamp out abuse of the program
to import skilled migrants to fill labour shortages.
Unions claim some employers are breaching the rules by underpaying workers, usin
g skilled workers to perform unskilled jobs and not providing proper training.
The Immigration Department has frozen visa applications until the concerns are a
ddressed.
Chief executive Kevin Cottrell says a labour agreement is being negotiated to en
sure all sectors stay within the law.
Grains Council awaits AWB restructure details
Four days after news of a major restructure at wheat exporter AWB, the nation's
peak grains body says it still needs more detail before it can comment.
AWB has announced the separation of its export and corporate arms, to improve tr
ansparency.
The Grains Council says it will continue to support the current system, and will
not endorse any restructure proposals until the "oil for food" inquiry is over.
Chairman Murray Jones has rejected suggestions the council is responding too slo
wly.
"All AWB has given us is the press release and so we really haven't got any furt
her detail," he said.
"They've spoken themselves about giving further detail over the period of time.
Qld unveils $1bn Toowoomba-Gladstone rail link
The Queensland Government has committed a billion dollars to complete a railway
link between Toowoomba and the expanding central port of Gladstone.
Premier Peter Beattie says the 200 kilometres of rail will solve a "missing link
" in the state's rail system.
It will mainly be used to transport billions of tonnes of coal from the Stuart B
asin to port, but Everald Compton from the Australian Inland Expressway Project
says grain growers will also benefit.
"Twenty million tonnes of coal a year will go out on the line but in addition it
will mean that all the grain crops, the cotton and beef and all types of produc

ts can also use the port of Gladstone, which they are unable to do now," he said
.
Wool growers seek speedy industry body merger
A rebel group of wool growers says a proposed merger between the industry's two
peak bodies must be completed before producers are asked to vote to increase lev
ies later this year.
Late last week, Australian Wool Innovation and Australian Wool Services signed a
deal to look at the legal and financial implications of integration.
Martin Oppenheimer from the Australian Wool Growers Association has welcomed the
move, and says it needs to happen quickly.
"The issue that we have now, moving forward, we've got Woolpoll 2006 coming up t
his December that will decide how much wool tax that wool growers will be spendi
ng for the next three years," he said.
"We need to know what the strategic plan is of the new merged entity.
"We can't be voting on a level of wool tax for the next three years if we don't
know what the company will look like or what its goals will be."
In New South Wales, growers from the Goulburn-Yass branch of the Superfine Wool
Growers Association voted unanimously to support the agreement at a meeting on F
riday night.
Chairman John Ive says the merger talks have been dragging on for too long.
"With this sort of stand-off position between the two bodies, it wasn't giving g
ood vibes to wool growers," he said.
Irrigators push for bore water sales to Toowoomba
Irrigators on Queensland's Darling Downs say they will push ahead with a plan to
sell water to the Toowoomba City Council, after residents overwhelmingly voted
against using recycled water.
At a referendum on Saturday, 62 per cent of Toowoomba residents said they were n
ot prepared to use treated waste water to alleviate shortages.
John McVeigh, from lobby group NuWater, says irrigators can sell 5,000 megalitre
s of bore water to the city each year.
"Irrigators in our part of the world have put on the table a concept of urban ru
ral water trade, now that's a concept that is getting support from CSIRO and is
certainly something that has been practised in Israel and California," he said.
Shellfish disease spreads off Vic coast
Abalone divers and fisheries officers have been unable to stop the spread of a h
erpes-like disease, which is killing shellfish off the coast of south-west Victo
ria.
A 10 kilometre no diving and fishing zone was implemented off Port Fairy last mo
nth, but ganglioneuritis is now killing abalone a kilometre outside the boundary
.
Mark Gervis, from South Ocean Mariculture, says as well as affecting wild stocks
, the disease has hit on-shore abalone fish farms hard.
Online grain exchange nears launch
A consortium of agriculture and finance industry experts says it is almost ready
to launch an Internet trading system for grain, oil seeds and legumes.
Wheat is the only commodity to be restricted to trade only in Australia.
Con Galtos from the Australian Grain Exchange is in negotiations with the major
grain handling companies to talk up the benefits.
He says the system will give growers access to every price being offered in the
international market place.
"The growers will know that the prices that they are offered for their grain are
the prices that are offered for everybody else's grain, in other words it creat
es a level playing field," he said.
Wheat belt communities tackle achohol-related deaths
Communities in WA's wheat belt are trying to halt the growing number of alcohol-

related deaths in the region.

The Wheatbelt Public Health Unit will work with the police to make drinking venu
es safer by training bar staff to stop serving customers when they have had enou
gh.
Spokeswoman Julia Dick says most people would be shocked at just how many people
are killed by alcohol each year.
"Probably about 15 deaths a year in the wheat belt are attributable to alcohol.
There's about a further 2000 people hospitalised each year because of excessive
alcohol use," she said.
"It comes at a financial cost of about $5.5 million, which is an enormous amount
of money.
Tax review hits agribusiness shares
Nervous investors have wiped up to 25 per cent off the value of a number of comp
anies involved in agribusiness managed investment schemes.
Companies including Great Southern, Timbercorp and Wilmott Forests have been hit
in recent weeks.
Investment analyst Steve Johnson says some of the uncertainty is being caused by
a federal review of the tax incentives offered for the schemes, which include t
imber, grapes, almonds and olives.
"Most other businesses certainly aren't as volatile as this, it would be a 25 pe
r cent fall, I would say, in the last 3 weeks," he said.
US blamed for trade talks impasse
US President George W Bush and British Prime Minister Tony Blair say they will m
ake a final effort to save stalled global trade talks after a weekend meeting at
the White House.
The Doha talks are at standstill after major trading powers failed to reach agre
ement on reforms to international farm trade.
The European Commission's Ambassador to Australia, Bruno Julian, says Europe had
offered to cut tariffs on imports from 80 per cent to 50 per cent, and blames t
he US for the impasse.
He says it is up to the US to cut its $26 billion in domestic subsidies to farme
rs.
Money needs to be spent on ports upgrade, inquiry chief says
The head of a federal inquiry into port, rail and road infrastructure says most
of the nation's significant ports need upgrades worth around $80 million each.
Nationals Member for Hinkler in Queensland Paul Neville says money will need to
be spent to protect Australian exports of minerals, grain, timber and mineral sa
nds.
He says transport networks in general are having trouble keeping up with the nee
ds of the export sector.
"We have found that at nearly every port there is a need for some sort of improv
ement to the connectivity between the main road and rail freight truck routes an
d the ports themselves," he said.
"Now it varies from port to port and at one it might be a new rail connection, i
n another one it might be a ring road around the port and another the widening o
f the channels into the ports.
"We feel they could probably do it a bit better."
PM's news an 'enormous relief' in rural Aust
There has been a largely warm response to Prime Minister John Howard's decision
to stay on and fight the next federal election.
Mr Howard announced yesterday that he would not be handing over the top job to T
reasurer Peter Costello.
Mark Patterson, from Currie Communications, expects country Australia to be happ
y with the move, which should increase the chances of another Coalition victory.
Benetton wool deal collapses

A major deal to double Australian wool sales to Italian fashion giant Benetton h
as collapsed.
The $1.6 million deal to step up sales to 4 million kilograms a year was only an
nounced two weeks ago and would have made Benetton one of Australia's biggest wo
ol retailers.
Australian Wool Innovation (AWI) will not go into detail, but says since the ann
ouncement issues have come up which can not be resolved by either company.
Chief executive Len Stephens is urging others not to use the collapse as an excu
se to destabilise the wool industry.
Herbicide used to poison crops, police say
Police in north Queensland have confirmed that the common herbicide glyphosate w
as used to poison up to 40 hectares of fruit and vegetable crops near Bowen.
A special Queensland Government task force has been set up in the region, to fin
d out how the poison, which is commonly known as Roundup, got into the system in
the first place.
One million dollars damage has been caused to the crops and police now suspect a
water source associated with crop spraying was contaminated.
Detective Inspector Warren Webber says the contamination is being treated as an
act of sabotage.
"We obviously have look specifically in relation to which farms etc were being s
prayed and that sort of thing," he said.
1080 poison not under threat in animal welfare strategy
Humane control methods will have to be used in the battle against pest animals,
under the new Australian animal welfare strategy.
The strategy, to be finalised by the end of the year, will emphasise the need fo
r ongoing training and accreditation in pest control, whether it be for wild dog
s or cane toads.
But Tony English from the Wild Animal Working Group says the widely used toxin 1
080 is not under threat at this stage.
"Not in the short term - 1080 at the moment is still too valuable a toxin for us
for use in say wild dogs and foxes, that there's no suggestion at all that we w
ould be looking to phase out 1080," he said.
"We can start to look for new toxins and that's happening but there is some rese
arch being done to incorporate analgesic drugs, pain killing drugs with the 1080
to make it perhaps more humane than it currently is.
Goats theft to hurt students
The head of an agricultural college in western Queensland says the theft of up t
o 300 boer goats will have a major impact on breeding and teaching programs.
Ten pure bred bucks, 90 does and up to 200 kids valued at $13,000 were stolen fr
om the property, Manningham, near Longreach.
Peter Scott from the Australian Agricultural College Corporation says the theft
will hurt students.
"Thirteen thousand dollars is a significant commercial loss for us because all o
ur pastoral operations must support themselves, but you know 90 does out of our
breeding herd that's a significant loss," he said.
"We're probably trying to develop a really good commercial meat goat flock so th
at we've got a good model for teaching and demonstration purposes."
New food labelling laws cover Internet shopping: FSANZ
Food Standards Australia and New Zealand (FSANZ) says Internet grocery sales are
covered by new country of origin labelling laws.
Horticulturists had raised concerns that the labelling laws introduced in June h
ad failed to include the rapidly growing online market.
At the time, the nation's food regulator said it would call for industry input t
o fix the problem.
Debris causing problems for scallop fishers

Scallop fishers have hit a snag while harvesting reopened scallop beds off the e
ast coast of Tasmania.
Debris from a failed fishing venture in the 1980s is causing problems for operat
ors, with dredges becoming tangled in abandoned nets and lines.
It has been 20 years since the scallop beds near Triabunna have been open for fi
shing and John Hammond from the Scallop Association of Tasmania says it is a mes
s.
"The rubbish that's coming up is quite extraordinary really," he said.
"Plastics and monofilament shark nets and that type of thing that was stuffed in
side these plastic bags to catch the spat at the bottom's sort of eaten out of t
he bag, the actual bag that the plastics were stuffed into.
Elders Rural Bank profit up 10pc
Elders Rural Bank has announced a $30.7 million profit for the past financial ye
ar, up 10 per cent on the previous year.
The bank is attributing its success to its focus on the rural sector, claiming c
ountry Australia is being ignored by the big banks.
Milk shortage forces processors to increase prices
Milk shortages caused by dry conditions in Western Australia have forced process
ors to increase their farm gate milk prices.
The New Zealand-based parent company of Peters and Brownes, Fonterra, has announ
ced a one cent per litre step up for spring.
But Tony Pratico from the WA Farmers Federation says prices need to be substanti
ally raised now.
"I think the processors have to start reviewing it now because the milk's price
has to move forward or else on one of the processors here in Western Australia w
ill find themselves without milk," he said.
Wimmera economy hard hit by drought
The lingering effects of the drought and ongoing tough seasonal conditions in Vi
ctoria's grain growing Wimmera region are still hitting the region's economy.
The Wimmera Development Association says businesses are feeling the flow-on effe
cts of losing $568 million in grain-related income into the region in 2004.
Chief executive director Phillip Sabien says the situation has not improved for
many rural towns.
One in 12 year event behind weather pattern, says forecaster
A one in 12 year weather event is creating an unusually wet winter in the north
of Australia but dry conditions in the south, according to a Queensland forecast
er.
Dr Roger Stone says the sub-tropical ridge has dropped below the Australian cont
inent to the south of Tasmania this year.
He says it is an important cyclical event which might explain this winter's cond
itions.
"It's the second most important factor after the El Nino SOI system," he said.
"As people may have noticed it's been way south, it gives us a lot of easterlies
or south easterlies on to the Queensland coast , but also tends to bring in a b
it more moisture than might normally be the case.
"It tends to get a bit too wet up around Cairns in this type of year, but it can
help the situation in central Queensland.
AWB lowers estimated pool returns
Wheat exporter AWB has lowered its estimated pool returns for the coming harvest
by $4 a tonne for all wheat grades except durham.
The company says prices have been affected by fluctuating world prices, due to a
better forecast for the spring crop in North America.
Rural sector 'can cope' with rate rise
A rural lender says the interest rate rise, announced by the Reserve Bank today,

will not cause panic among farmers.

Neil Dobbin, the head of rural banking for Rabobank Australia, says many farmers
have already fixed their loan rates and can absorb the rise.
But he says those who have recently acquired a new property or increased their b
orrowings may feel the pinch.
He also says a dollar at 76 cents US does not help export income.
Mr Dobbin says the main cost concerns farmers have are rising fuel and fertilise
r bills.
"I think the rural sector can cope with this rise," he said.
"Seasonal conditions at this stage are generally pretty good, a lot of the commo
dity prices are in sound position.
Trade policy expert talks up possibility of Japan FTA
An expert on trade policy says the prospects for a lucrative free trade agreemen
t (FTA) between Australia and Japan have never been better.
Foreign Minister Alexander Downer discussed a possible FTA with the Japanese Pri
me Minister in Tokyo yesterday and both countries are completing a feasibility s
tudy.
Dr Ann Capling from Melbourne University is studying the potential benefits of s
uch an agreement, which was flatly rejected by the Japanese Government in 2002.
Japan is already Australia's most important trading partner, but quotas and high
tariffs continue to restrict exports of beef, dairy, pork, grains, oilseeds, an
d fruit, and vegetables.
Dr Capling says there is increasing pressure on Japan to allow more of these sup
plies in.
US confident of maintaining Iraq wheat market
Iraq is now America's fourth largest wheat customer and the United States sees c
ontinued strong purchases in a market once firmly in Australia's court.
Agriculture Secretary Mike Johanns was in Baghdad for farm co-operation meetings
with Iraqi officials this week.
And despite an expected strong Iraqi wheat harvest this year, Mr Johanns is conf
ident Iraq will continue as a solid US customer.
"We now have about 72 per cent of the market share. To translate that into numbe
rs, that's about 2.3 tonnes in the 05-06 market year," he said.
Online trading opens market to more investors: trader
Day one of online trading at the Chicago Board of Trade has closed, representing
a new era for the world's largest commodity trader.
The Board of Trade website says the introduction of electronic trading of agricu
ltural futures contracts is part of its global expansion plans.
Australian trader Corrie Mcgrath says pit traders tend to operate for themselves
, while trading online opens up the market to a whole new body of investors.
"Opening up to electronic markets means that a small person can come in through
a broker and trade online themselves," she said.
Graincorp to keep some grain receival sites open
Graincorp has agreed not to axe 23 of the 108 grain receival sites earmarked for
closure as part of its business rationalisation plan in the eastern states.
Following the announcement of silo closures earlier this year, Graincorp agreed
to further negotiation with silo committees, who vowed to fight to keep their lo
cal silos open.
The company has confirmed they will keep seven of the 23 sites open for a year i
n Victoria and three in central Queensland.
It is not yet known what other sites across New South Wales will remain open and
how much the move will cost the company.
Graincorp is expected to release further details tomorrow.
In Victoria, the Wimmera has been the most persuasive, saving four of eight site
s earmarked for closure.
Ron Jackson, from Patchewollock in the Mallee region, says it is only a 12 month

reprieve.
Fox find may prove costly
There is irrefutable proof that foxes are alive and thriving in Tasmania after t
he discovery of a still warm carcass by a farmer in the Northern Midlands yester
day.
It is believed the animal had recently been hit by a car.
Tasmania has been considered fox free and the pest could cost the state economy
$8 million a year if it gets a foothold.
Wildlife biologist Nick Mooney says the fox, a young adult male, was likely to h
ave been born in Tasmania.
He says it is the evidence that will finally silence the sceptics.
"We've had proof for years we believe," he said.
"This is just a most unfortunate and other piece of evidence, so I would have lo
ved to have not seen anything ever again.
Nursery industry loses billions in sales
Queensland's biggest plant-based rural industry is having, by its own admission,
its worst year in two decades.
The nursery industry had been worth about half a billion dollars in sales to dom
estic and export markets a year.
But a drought in the south of the state has cut production and meant a 40 per ce
nt drop in sales to gardeners.
In the north, Cairns nursery operator Daryl Madder says some owners are finding
the damage to their stock from cyclone Larry is worse than first thought.
"What we didn't realise at the time was the stock was blown over," he said.
Remote families seek boost in allowances
Families of remote secondary students in the Northern Territory are calling for
a higher interstate boarding and travel allowance.
The Federal Government already provides boarding allowances for all isolated chi
ldren, worth about $7,000 a year.
But Tina McFarlane, from Stylo Station near Mataranka, says the Territory Govern
ment should provide extra funds to send isolated children interstate.
She has even considered leasing the station to move the family closer to seconda
ry schooling in Queensland.
"I have a daughter going into secondary school and she has close family in Toowo
omba," Ms McFarlane said.
"There are boarding schools in the NT, but it's nearly quicker to go interstate
than to Alice and where there is family.
Producers stop culling sheep
Thanks to some much needed rain in Western Australia, producers in Northampton i
n the state's wheatbelt region have now stopped culling their sheep.
In the northern agricultural regions, around 13,000 lambs and ewes have been des
troyed and another 15,000 have died, because the season has been too hard.
Craig Walker from Elders says it is a relief that producers can stop culling, no
w that there is some green pick around.
"People didn't make that decision light-heartedly," he said.
Egg producers to be audited
Victorian egg producers are stepping up their quality assurance campaign, with a
new system to ensure consumers get the egg products they pay for.
Egg farmers producing under the HenCare label will be audited to ensure they mee
t free-range farming, animal welfare and biosecurity standards.
The president of the Victorian Farmers Federation egg group, Meg Parkinson, says
the campaign is designed to eliminate suspicion that egg products are often sol
d under false labels.
"There has always been a push by some people to say that egg farmers don't do th
ings very well and the eggs in the carton are not the ones they say on the label

," she said.

Chlorine used to eradicate exotic marine pest
An exotic marine pest has been eradicated, once again, from boats moored off Dar
win Harbour.
The black striped mussel was found on three illegal fishing boats, apprehended i
n Australian waters.
Peter Zeroni, from the Northern Territory Fisheries Department, says chlorine wa
s used to kill the mussels, but monitoring will continue.
"The vessels were treated in open water by a contractor with AFMA," he said.
"The chlorine we used to treat the vessels obviously affected the mussels. The c
hlorine will have gone into the woodwork and is likely to kill anything else tha
t's in there.
"So we are pretty confident those boats are safe now. However as a precautionary
measure, they will be re-dived every month, any vessels of hulls that are moore
d in the harbour will be re-dived on an ongoing basis.
Company seeks new growers to help meet demand
A major Victorian company hopes to produce an extra million kilograms of fresh s
now peas each year by recruiting new growers in south-east Queensland.
The company, Select Produce, says it has been lured by water security and the fa
vourable climate in the Bundaberg/Childers salad bowl.
The business supplies the two major supermarket chains, with most of its produce
coming from Victoria.
But Queensland manager Lyle Wyatt says the company is recruiting growers in the
Wide Bay area to help it meet demand all year round.
CDMA network replacement on track: Telstra
Telstra has rejected suggestions the rollout of its new mobile phone network in
rural Australia is facing major technical difficulties.
Reports today claim trials of the billion dollar 3G network show the technology
is not up to scratch and will not be able to provide the same quality and range
as the current CDMA network.
Warwick Ponder from Telstra denies the claims, saying the program is still on tr
ack to replace CDMA by 2008.
"We still stand by what we've said all along about this network," he said.
"Today's story in the Australian Financial Review is a bit like speculating abou
t the performance of a racing car before the wheels have even been fitted.
More men call depression hotline
A national hotline to help men in rural areas cope with depression has received
500 calls in its first month.
Chairman of beyondblue Jeff Kennett says 40 per cent of callers have been men, u
p from just 5 per cent.
Mr Kennett says being able to receive help anonymously from even the most remote
areas seems to be making a difference.
"Unfortunately, depression is very prevalent throughout rural Australia and part
icularly among young men," he said.
"So what we hope with this beyondblue information line is to give men the capaci
ty, wherever and however isolated their environment may be, for the price of a l
ocal call to seek direction and help as to what to do in overcoming their depres
sive illness."
Senate committee examines petrol collusion claims
Widespread rumours of collusion or price fixing between petrol companies will be
examined by a Senate committee in Canberra today.
Chairman of the Senate Economics Committee George Brandis says the inquiry will
investigate issues that may contribute to high petrol and diesel prices.
Senator Brandis says the main focus will be trying to uncover the truth about co
llusion.

"What we want to address, in particular, is the relationship between the oil maj
ors and I am not saying that there are any anti-competitive practices, but there
has been suggestion of that going back many years," he said.
"But I think the point to be made is that this suggestion has been about for yea
rs but it has never been proved.
"The ACCC has examined the matter and it has never found the existence of anti-c
ompetitive conduct."
The committee will also look at the financial viability of ethanol and whether f
uel taxes should be reduced.
Project aims to boost zinc production at Mt Isa mine
Resources company Xstrata has announced a $160 million project to turn its Mount
Isa zinc mine into one of the world's largest.
Fred White, general manager for zinc metallurgical processing, says production w
ill rise from 5 million tonnes a year to 8 million by the second half of 2008.
He says the project also means more jobs for the region.
"We're looking at, for the duration of the project, having up to 200 extra peopl
e working in the concentrator providing construction engineering and contracting
services, so it's a good story for the area," he said.
Hunters dismiss fox fight call
A call from the Tasmanian Government for community help to hunt down foxes has b
een dismissed as a public relations stunt by professional hunters.
With the discovery of a dead fox in the northern midlands a few days ago, the Go
vernment wants a task force of more than 100 people to track down the pest.
But Peter Dark from the Field and Game Association says it is an old idea that d
id not work first time around.
"It's all very well to say 'we'll get a hundred hunters'," he said.
Graincorp to upgrade infrastructure
Eastern states' grain handler Graincorp will spend $25 million on a major upgrad
e before this harvest.
Most of the money will be spent on better infrastructure at silos, along with ap
pointing grains services managers at the 77 biggest receival sites.
Taiwan market remains closed to cherry growers
Cherry growers locked out of their $7 million market to Taiwan will not be allow
ed back in this year.
Most mainland regions were banned from exporting fruit in January because grower
s could not prove their cherries were free of the Queensland fruit fly.
David Minnis from the Cherry Industry Advisory Committee says trials to treat fr
uit for fruit fly will not finish until January next year.
"It seems a long time away I know, but we've got to wait till the next season to
do the full verification trial, then the evidence is written up in a format tha
t we will then submit to the Taiwanese officials," he said.
Draft seed import regulations worry growers
Cut flower growers in northern Australia are renewing their calls for more time
to comment on draft changes to seed import regulations.
Biosecurity Australia is reviewing the regulations, which Darwin grower Jan Hint
ze says will impact on flower breeding.
She says they will also make it harder to conserve species like ginger, which is
under threat from timber harvesting across Asia.
"I think it's a significant role that Australia should play within its sphere of
interest," she said.
"I mean these people that live in countries in South-East Asia and Asia, they ar
e really concerned about the loss of this material too, but they can't save it a
ll on their own.
Frosty mornings take their toll on wildflower industry

The wildflower industry in Western Australia is the latest sector to be affected

by the dry season.
But it is not a lack of rain hampering production.
Frosty mornings are damaging the buds and Rhonda Tonkin of Coomberdale says it i
s the worst she has seen in 30 years.
Ms Tonkin says she will probably lose some export markets this year.
"If you don't have enough product for the customers they tend to just cancel the
container and go to India or somewhere else," she said.
"But we are fairly unique in Australia with our dried flowers and the people are
understanding because they know that we have a problem.
Company to streamline Australian operation
Further rationalisation is occurring across the international wine industry.
One of the world's largest international beverage alcohol producers, Constellati
on Brands, says it will streamline its Australian operation.
Constellation owns the South Australian-based Hardys Wine Company and plans to b
uyout some grape supply and processing contracts, and sell non-strategic assets.
More innovation needed to overcome wine glut: expert
The marketing sector has been forced to use its imagination to try to shift some
of the billion litres of wine in storage across Australia.
One of the latest ideas is a six pack of cleanskin wines in brightly coloured bo
ttles, which have stoppers, so they can be reused as water bottles.
Professor of wine marketing Larry Lockshin, from the University of South Austral
ia, says there needs to be more innovation.
"Right now when you say to somebody 'wine', we think 750 millilitres in a glass
bottle with a stopper of some sort, in Australia it might have a screw cap, othe
r places might have a cork or a synthetic," he said.
"But that's a very traditional package, it's been around for hundreds of years,
so we haven't been all that creative.
"Look at how you buy milk, how you buy fruit juice, how you buy even tomato past
e in the stores. We used to buy it in cans, now you can buy it in tubes like too
thpaste.
AWB announces new chief
The head of Orica Mining Services has been named the new managing director of wh
eat exporter AWB.
Gordon Davis, 50, will replace Andrew Lindberg, who quit at the height of the oi
l-for-food inquiry earlier this year.
Mr Davis will be paid $875,000 a year, which is less than Mr Lindberg was receiv
ing.
AWB chairman Brendan Stewart says Mr Davis's role will be to stabilise the compa
ny and restore its credibility in the aftermath of the Cole inquiry.
"I'm very conscious of the fact that Gordon should not be in any way, shape or f
orm deemed to have been involved in anything that's gone before us at AWB," he s
aid.
"He is new to the organisation, he is a cleanskin in that sense and we look very
much forward to him running the business as it goes forward, and essentially th
e board, and myself, will be dealing with any issues that come out of the Cole i
nquiry."
Mr Davis will start his role in mid-September.
Meanwhile the Grains Council has written to federal politicians looking for a gu
arantee that wheat growers will not be lumped with the costs of the Cole inquiry
.
AWB estimates the royal commission into alleged kickbacks to Iraq will cost the
company between $18 million and $20 million.
The council says current and future profits from wheat sales should not be used
to meet the debt.
Coalition MPs pressure Govt over fuel prices

The push is on to find a way to reduce fuel prices with backbenchers pressuring
the Federal Government to intervene.
Coalition MPs will meet in Canberra on Monday to put forward ideas to ease the f
uel price pain, including more help for the ethanol and biofuels industry, excis
e cuts and tax concessions for rural and remote areas.
Federal Industry Minister Ian Macfarlane has previously been opposed to extendin
g help to the biofuels sector, but now says it will be considered if it leads to
cheaper fuel costs.
"The Federal Government is already providing some assistance to particularly the
biofuels industry to get cheaper fuel onto the market and we are disappointed t
o date that part of that assistance is not actually reaching the motorists, so w
e'll continue to look at options there," he said.
"I guess Monday's partyroom offers us the opportunity to hear what the backbench
ers are suggesting and to consider some further options."
In the United States, the peak body for corn growers in the mid-west believes bi
ofuel production has brought life back to dying farming communities.
Almost 60 million tonnes of grain is processed each year in the United States to
make biofuels.
Bruce Stockman from the Minnesota Corngrowers Association says ethanol has deliv
ered a big boost.
"Everyone of the communities that built one of these ethanol plants has come bac
k to life," he said.
"They were on the decline and they have vitality now.
"The dollars that the state gave as an incentive for the first 15,000 gallons of
production has paid the state back 16-fold.
Farmers confidence falls
Farmer confidence has fallen due to lower demand, rising costs and poor seasonal
conditions between April and June.
The latest agribusiness survey by the National Australia Bank says beef, dairy,
wheat, sugar and cotton farmers are less positive about the future.
There is more optimism though for the wool and wine industries.
Analyst Skye Dixon says the good news is that recent rainfall has boosted the pr
ice outlook for the next year.
"Over the last 12 months, 2005-06 we saw rural commodity prices rise by around 4
per cent," Ms Dixon said.
"This is largely in line with a steep rise in beef and sugar prices," she said.
Mining companies continue posting profits
Evidence of the resources boom continues to show-up on the financial markets, wi
th record profits posted by Australian miners in the past 48 hours.
The biggest result came from Rio Tinto, which has posted a profit of just under
$5 billion for the half year.
Rio produces iron ore, coal, diamonds, copper, alumina and uranium in mining ope
rations around the country.
London resource expert Kevin Tomlinson says the success of Australia's resources
sector, despite high labour and operational costs, has surprised world financia
l markets.
Significant diamond find prompts mining hopes
Diamond mining in South Australia's Flinders Ranges is a step closer after the d
iscovery of 30 diamonds.
Resources company Flinders Diamonds has been exploring the region for the past f
ive years, but this is its most significant find.
Managing director Dr Kevin Wills says other results are yet to be studied, but s
o far the news is good.
"Each of these samples we're treating has got the chance of being an economic sa
mple," he said.
"Soon as we get to that stage, then we'll convert to doing a feasibility study r
ather than an exploration program and that's what we trying to find.

Falling wheat crop to blame for AWB share drop

A Western Australian business analyst says AWB's recent share price has been aff
ected more by the falling wheat crop than its new managing director.
The wheat exporter announced yesterday that Orica's head of mining Gordon Davis
will replace Andrew Lindberg next month.
Shares in AWB slowly dropped during this week's trade, but gained two cents this
morning to hover around $3.74.
Ashley Kelly from Bell Potter Securities says at this time of year the market sh
arply watches announcements about the grain pool.
"The last update we had on the grain pool was back on the 31st of July, which wa
sn't very long ago and of course those estimates were lowered," Mr Kelley said.
"If you're a betting person, then you'd probably bet there's possibly another on
e to come.
Analyst says wool market performing well
Elders says the wool market has performed well against the rising Australian dol
lar in the first sales after a three-week recess.
The eastern market indicator fell five cents to 741 cents a kilogram this week,
with 47,000 bales of wool on offer in Sydney and Fremantle.
In Western Australia the indicator fell by 11 cents to 716 cents a kilogram.
Wool analyst David Fogg says it is surprising there was not a bigger fall, given
the two cent rise in the Australian dollar.
"We really thought, particularly at the fine end, that we were going to see at l
east 20 and perhaps 30 come off prices, but what we saw in fact with the fine wo
ols was 10 to 15 on the first day," Mr Fogg said.
Nine arrested after orchard raids
Fruit orchards in Victoria's Goulburn Valley were searched by police yesterday,
resulting in the arrest of nine people on allegations of extortion, arson, drug
offences and organised crime.
Charges are expected to be laid today.
Nine orchards were raided yesterday at the culmination of a 12-month undercover
police investigation.
Inspector Gerry Ryan says the case relates to standover tactics being used by so
me fruit growers.
Assistance scheme extended for cyclone-affected growers
The Federal Government will extend a scheme to help north Queensland farmers who
se crops were wiped out by cyclone Larry earlier this year.
Employers who qualify receive $200 per worker each week to help them keep staff
and skills in the region during the tough recovery period.
Growers were hoping the scheme would run for 36 weeks but at this stage it will
be limited to 26.
Denis Rigato's banana and avocado farms were badly damaged by the cyclone and he
says any extra assistance is welcome.
"Any sort of help we get is much needed - it's going to help with our existing l
abour force," Mr Rigato said.
"Even though we've cut back it allows us to keep them [employees] going on, you
know more time down the track.
Citrus growers ask for frost assistance
Riverland citrus growers who have had crops decimated by frost have asked the Fe
deral Government for exceptional circumstances assistance.
More than 30 per cent of the region's navel orange crop was ruined during a long
spell of frosty weather, with temperatures falling to minus seven degrees.
Peter Walker from the South Australian Citrus Industry Development Board says he
has approached Federal Agriculture Minister Peter McGauran with the proposal.
'We effectively have said when we have one crop failure that is a significant an
d he said it had to be prolonged failure so we're arguing that point of view at

the moment," Mr Walker said.

Poppy growers asked to boost production
Tasmanian poppy growers have been asked at the last minute if they can plant an
extra 2,000 hectares of poppies.
Pharmaceutical company GlaxoSmithKline announced in April it would cut contracts
by 90 per cent because of a world oversupply, but it has now secured a long-ter
m deal that will clear out its reserve stocks.
Spokesman Mike Doyle says the company's relationship with growers may have been
damaged, but he hopes they will come to the party.
"The timing's unfortunate I admit," Mr Doyle said.
"We certainly would have liked to have known at a different time of the year, bu
t these sorts of negotiations are very involved and complicated and we are in a
position now at least to see if there's ground out there available."
Tomato growers set to profit under new quarantine deal
Australian tomato growers exporting to New Zealand expect cost cuts and increase
d profits under a new quarantine deal.
The existing inspection regime has been relaxed under an agreement between Biose
curity Australia, the Quarantine Inspection Service and New Zealand authorities.
Exports across the Tasman are worth more than $5 million each year.
Andrew Phillip from Bundaberg-based SP Exports says the new quarantine regulatio
ns take effect immediately.
Federal Govt offers $1m to fight foxes
The Federal Government has offered more than a million dollars to fight foxes in
Tasmania, as long as the Tasmanian State Government reinstates funding to a fox
task force.
Leeuwin II changes young lives in NT
Forty young people from across the Northern Territory now have a career on the h
igh seas in mind after a week at sea.
The group has been aboard Australia's biggest sail training ship, the Leeuwin II
.
For 14-year-old Riley Vaughan of Wave Hill Station south-west of Katherine, it w
as the chance of a life-time.
"How hard it was to work a little sailing ship, I thought I had it tied down, it
'd be pretty easy but it wasn't good enough," Riley said.
"I reckon the coils, the knots were the hardest, unfurling the sails, you have t
o climb up and and crawl out on the end of the sail and unroll it, but it was wo
rth it.
"Everyone once in their life should have a ride on the Leeuwin."
Vaile denies EU claims of bias
The Federal Government has been accused of bias by the European Union by favouri
ng the United States in negotiations for world farm trade reform.
EU trade commissioner Peter Mandelson has also snubbed Australia's invitation to
attend trade talks in Cairns next month, calling on the Government to stop crit
icising Europe's farm policy.
But Australian Trade Minister Mark Vaile has flatly denied any allegations of bi
as.
"Well we have always been very ambitious as far as market access on agriculture
is concerned and I reject the notion that we are biased towards the United State
s," he said.
"In fact we are the only country of the six in the G6 that put compromise propos
als on all fronts, on market access, on cuts to domestic support and on changes
as far as non agricultural market access is concerned.
Farmers want Govt rethink on fuel tax
Farmers who are developing commercial biofuel plants are hoping the Federal Gove

rnment will rethink its policy on taxing alternative fuels after a meeting of Co
alition MPs this afternoon.
Public concern over the high cost of petrol and diesel is expected to be a major
issue at the gathering, although Prime Minister John Howard has ruled out cutti
ng the federal fuel excise or subsidies for rural motorists.
Stephen Hobbs from Kaniva in western Victoria says it is time the Government hel
ped the rural community to reduce its dependence on big oil companies.
"I think it's just a really disappointing position that the Federal Government h
as taken with the whole renewable fuel industry, when you consider that the foss
il industry has had 100 years to get it's legislative framework in place," he sa
id.
Calls for former AWB lawyer to be cross-examined
AWB's former in-house lawyer Jim Cooper is likely to give evidence to the Federa
l Court tomorrow, as the Cole Inquiry seeks access to 1,300 documents that may b
e relevant to the oil-for-food investigation.
Barristers for the Commonwealth have told AWB they want to cross-examine Mr Coop
er, who resigned in April.
South Australian wheat bound for Iraq
Another consignment of wheat bound for Iraq will leave Port Giles in South Austr
alia on Wednesday.
Part of the 350,000 tonne Wheat Australia deal, it is the first wheat from South
Australia to leave the port for Iraq in almost two years.
ABB Limited's Maggie Dowling says the 23,000 tonne shipment is big news for the
state's wheat industry.
Poor season affects lupin numbers
Western Australian lupin growers are worried that poor seasonal conditions will
cut this season's production by two-thirds.
Farmers need to grow enough lupins each year to fill long standing overseas cont
racts, hold enough over to plant the following year and supply the domestic live
stock industry.
With lupins fetching $300 a tonne to meet strong feed demand in the west, Alan M
eldrum from Pulse Australia fears there will now be a lack of seed to plant next
season.
"It's obviously a very ordinary season, there's not much production going to be
happening from lupins in 2006 and the biggest concern is the great northern area
where a lot of lupins are produced on an annual basis," he said.
Bid to increase cherry research, development industry fails
Just one vote has defeated a bid by the cherry industry to increase its research
and development industry.
Ian Hay from Australian Cherry Growers says the levy rise would have helped to o
pen up export markets in China and Taiwan, by funding a fruit fly program.
He says the industry is now working on an alternative proposal to put to produce
rs.
"It exists now at one cent per kilo, however the conference voted unanimously at
executive level to go out in the ballot again, but this time at four cents per
kilo," he said.
Mundubberra mandarins headed for China
The first export shipment of citrus fruit to China has left Australia.
Previously fruit entered China through the so-called "grey channel" via Hong Kon
g.
On Friday a container of honey murcott mandarins from Mundubberra in Queensland'
s central Burnett region left under China's strict new export protocols.
The shipment will reach Beijing towards the end of the month, meaning fruit supp
lier Alan Jenkins has a nervous wait.
"We've done everything, we hope, right at this end," he said.

"We've been certified and inspected by AQIS, and we hope that's in line when it
gets to China.
$50m for aquaculture, seafood firm
A Western Australian businessman has launched a $50 million buy-up of aquacultur
e farms in South Australia.
Analysts say the creation of a major seafood company could lead to better prices
and major export deals for oyster growers.
The company known as Aqafood has entered contracts to buy several oyster farms o
n the Eyre Peninsula and an atlantic salmon and ocean trout farming operation in
the south-east.
Adelaide business broker Martin White says the venture could see more seafood be
ing sold in untapped export markets.
"It's a progression the industry needs to take, in as much as there isn't a corp
oratisation at all in a lot of the smaller aquaculture industries and I think to
develop and grow the industries this is a positive approach," he said.
Diggers and Dealers conference kicks off in Kalgoorlie
Fifteen hundred miners have travelled from all over the globe to attend the annu
al Diggers and Dealers talkfest at Kalgoorlie in Western Australia.
The gold mining town is packed to capacity with some of the world leaders in the
resource sector, with many delegates having to resort to camper vans and carava
n sites for accommodation.
However, talk of moving the conference to a capital city is not being considered
by chairman Brian Hurley.
"If it was in Perth or Melbourne or Sydney it would just be another conference,"
he said.
Comalco port gets $78m upgrade
The mining boom has seen record demand for aluminium, leading to record producti
on of bauxite at Comalco's Weipa mine on Cape York.
After producing 16 million tonnes last year, the company is on track to set a ne
w record. To cope with growing demand, the company has spent $78 million upgradi
ng its port.
The main part of the upgrade is the installation of a second ship loader, which
weighs 650 tonnes.
Weipa manager Rob Atkinson says it can fill giant ore ships in no time at all.
"The ship loader is basically a device which allows the bauxite from the stockpi
les to be directly loaded into a ship and then it allows the bauxite to be fed i
nto the ship at a rate of about 6,500 tonnes an hour," he said.
Scientist calls on SA farmers to collect rabbit livers
A South Australian scientist is calling on landholders across the country to col
lect the livers from dead rabbits found on their properties.
In October it will be 10 years since the calici virus was released in South Aust
ralia in an attempt to control rabbit numbers.
Ron Sinclair from the state's Department of Water, Land and Biodiversity says th
e livers will help researchers find out how the virus has evolved and whether it
is still effective.
"It's not a very nice thing to do, to chop open a rabbit and take out a bit of l
iver, but we only need a little piece, about maybe a thumbnail size, chucked in
a bottle and thrown into a freezer labelled and then call the local authority re
sponsible for animal or plant control and let them know they have one," he said.
Thousands turn out for bush sports event
While more than 20,000 people are gathering for the annual Darwin Cup today, aro
und 2,000 rolled up for the Hart Ranges bush sports in central Australia over th
e weekend.
Rodeo, gymkhana, athletics and novelty events like the kangaroo tail toss and li
zard racing kept guests entertained, but the big draw card was the amateur horse

s races.
A young French woman who works in local Aboriginal communities took out the priz
ed events - the Stockman's Bracelet, and the Stockman's Cup.
"I think on the first race, I'm not exactly sure but I was told I had about four
lengths before the second horses, and on the second one I was a bit closer to t
he other horse, I think about two or three lengths as well in front of them," wi
nner Alienor le Gouvello du Timat said.
Concerns over CSIRO, Genetic Solutions deal
There are concerns today that a new commercial relationship between Australia's
national science agency and a gene technology company could hurt long-term resea
rch projects.
CSIRO has signed an agreement with Brisbane-based Genetic Solutions to become a
shareholder in the company in exchange for its research into cattle genes.
Traditionally CSIRO gets royalties and licensing fees for its work.
Mick Keogh from the Australian Farm Institute is worried the deal may change CSI
RO's focus, so it is chasing profits rather than undertaking long-term research.
"The New Zealand experience suggests that trying to have public research agencie
s be very strongly focussed on external earnings targets just diverts the whole
thing," he said.
"Everything becomes short-term, the long-term blue sky projects just get left on
the shelf and everything's about chasing earnings for this year or next year."
Aussies lose Iraqi wheat trade
A delegation from AWB has travelled to Iraq in an attempt to rebuild the company
's damaged reputation.
Figures out of the US suggest it now has 72 per cent of the wheat trade with Ira
q, once Australia's biggest grain export destination.
AWB chairman Brendan Stewart says the US is a major competitor and he cannot set
a deadline on winning new wheat contracts.
He says the meeting was requested by Iraqi authorities.
"This is an initial re-engagement meeting and is really to talk about process, n
ot to talk about tenders and prices and those sorts of things," he said.
Meanwhile, a group of grain growers - mainly from Western Australia - is investi
gating possible legal action against AWB.
The WA Pastoralists and Graziers Association says it is researching whether ther
e are irregularities with AWB's incentive scheme.
The group of growers is concerned that $200 million could have been deducted fro
m income that should have gone to growers.
The PGA's Leon Bradley says a legal firm has agreed to act on its behalf to inve
stigate concerns.
"Well our first concern is that the benchmark itself is internally determined by
the AWB and we're concerned about its integrity," he said.
"Secondly, with some of the evidence emerging at the Cole commission, we believe
some of the prices that have been used to calculate their performance have been
inflated."
AWB believes the PGA has misunderstood AWB's incentive scheme.
The company says will try to resolve the issue with the PGA before it embarks on
legal action.
Documents decision
The Federal Court has told lawyers for AWB and the Commonwealth to meet privatel
y to cull the controversial list of 1,300 secret documents.
Proceedings have been adjourned until this afternoon so the two parties can agre
e on a smaller and easier to manage list of communications between AWB and its l
awyers.
Beef prices predicted to stay high
The outlook for the cattle industry remains bright, despite the lingering drough
t and the return of US beef exports to North Asia.

In its latest projections, Meat and Livestock Australia says beef prices should
stay at their current high levels because exports and domestic consumption are s
et to rise.
Chief market analyst Peter Weeks says producers are continuing to pay top prices
for grazing land, with production set for a record high next year.
"Rarely seen such a buoyant period, you've really had four or five years where t
he industry has been what you could describe as buoyant," he said.
"We've had this time round, we've got record prices, we've got near record produ
ction and we're thinking by 2:30 we might even have record production.
20,000 sheep up for sale online
The sheep market is strong, with more than 20,000 sheep up for sale on the Inter
net in Queensland.
That is three times the usual number.
Richard Murray from Landmark at Longreach says most of the sheep offered on Auct
ions Plus come from properties in western Queensland.
He says graziers are capitalising on strong demand for young ewes from central N
ew South Wales, although abattoir-ready sheep are dominating the market.
"With the processor sheep, usually from mid August the prices tend to ease back
a bit, so naturally people are trying to get their sheep onto the market before
then," he said.
"It also fits in with the shearings, most of the shearings are done and they're
sort of six to eight weeks off the board now, which is an ideal time to be selli
ng the sheep."
Wool growers reject diazinon alternatives
The peak body representing wool growers wants to hold on to access to a common l
ice control chemical, despite health concerns.
The Australian Pesticides and Veterinary Medicines Authority is recommending tha
t diazinon no longer be used to dip or jet sheep.
Wool Producers's Greg Weller wants the authority to consider protective equipmen
t and new methods for dipping, because some of the alternatives create other pro
blems.
Claims grain companies under performing
There are claims today that Australia's key grain companies are under performing
on the stock market.
Analyst Paul Jensz from Austock says AWB, ABB and Graincorp are returning betwee
n four and six cents for every dollar invested, compared to 10 to 15 cents for o
ther investments.
He says the poor performance cannot be blamed entirely on seasonal conditions, a
nd grower shareholders need to have more trust in external investors and prepare
for life without the single desk for wheat exports.
"We would attribute maybe a third of the problem to seasonal issues," he said.
"But we do think even with those issues there is at least 60 per cent, two-third
s of the problem really, attributed towards structural changes in the industry a
nd some problems within particular companies."
High temps hit US dairy farmers hard
A summer heatwave in the United States could be good news for Australian dairy e
xporters.
Temperatures above 35 degrees have taken a dramatic toll on dairy production in
California, with many cows dying.
Dairy analyst Steve Spencer from FreshLogic says production on the west coast co
uld drop by 20 per cent this month.
"California is the largest dairy state and that has a major impact on the indust
ry," he said.
"There has been a cut in production, which will tighten their internal market.
Lack of feed causing sheep to suffer: RSPCA

The RSPCA is cracking down on farmers in WA, saying sheep are suffering due to a
lack of feed.
Officers have visited more than 50 farms in the driest parts of the state.
Spokeswoman Emma-Jane Morcombe says the organisation wants to help farmers to fi
nd enough feed so their livestock can get through the tough season.
"You can call the RSPCA because we will come in and, as I said, we're giving adv
ice right now," she said.
Murray River system needs 'a lot of rain'
Water inflows to the Murray River system over the past five years have been the
lowest on record and this year is shaping up to be another tough one.
With inflows since 2001 at just 40 per cent of the long-term average, Trevor Jac
obs from River Murray Water says a lot of rain is needed.
"The catchments aren't responding well yet to rainfall," he said.
Stellar season boosts machinery dealers confidence
One of the best seasons in years in South Australia has machinery dealers confid
ent of big sales at this year's Eyre Peninsula Field Days.
High fuel prices and low commodities have not deterred thousands from attending
the biggest event on every farmers calendar in South Australia.
The Eyre Peninsula Field Days plays host to more than 650 sites of large machine
ry and rural supplies along the outskirts of the small town of Cleve, one-and-ahalf hours north of Port Lincoln.
The season in this part of the world has been treated well, with some saying it
is one of the best they have seen. Others claim the stem rust could be the downf
all of this year's crop.
Kalgoorlie lacking gold treatment facilities, conference told
Treatment mills in Kalgoorlie in Western Australia are working overtime to turn
as much ore into gold bars to take advantage of record gold prices.
This week the Kalgoorlie region is hosting the Diggers and Dealers conference, a
ttended by some of the world's leaders in the resource sector.
Analyst Dr Sandra Close has told the conference that local plants cannot keep up
with the amount of gold being dug up to ship overseas.
"One of the actual problems we are actually seeing - I guess, in a way, it is a
good problem to have - and that is there is a lack of gold treatment facilities
in the Kalgoorlie area,' she said.
Divided views on wheat marketing
Four hundred delegates met at the Agriculture Australia conference and all eyes
and ears were on a panel session - looking at the future of the wheat industry i
n the face of AWB inquiry. The key question was should growers retain the single
desk, and if so, should they allow AWB to continue to manage it? The Grains Cou
ncil of Australia, which represents state-based grains bodies, says producers wa
nt to keep the systems as it stands until the end of the Cole inquiry. But as pr
essure mounts from the impending cost of the inquiry, the Grain Growers Associat
ion, which represents 17,000 producers on the Eastern seaboard, says there's lit
tle choice but to change. So what options should growers go with? On the one sid
e, international traders who want to get a share in the market say growers have
nothing to lose. On the other hand, AWB has staunchly defended the benefits of h
aving a single marketer as the best way to maximise returns to growers.
Grain dispute settled out of court
A legal dispute over grain warehoused by Creasy's Grain Enterprises has been set
tled out of court. When Creasy's collapsed last year, the receiver Ferrier Hodgs
on cited a 1933 High Court to claim title to a significant tonnage of grain stor
ed under warehouse agreements. The Whillock family from the north-west, with fin
ancial and legal support from the Australian Farmers Fighting Fund, challenged t
hat claim in the courts. A settlement of $97,000 has now been reached, returning
the full market value of the grain to the Whillock family, plus a large portion

of the legal costs. The NSW Farmers Association took up the fight for the Whill
ock family and the president, Jock Laurie, says although a legal precedent was n
ot set it's still a significant win for the family. Meanwhile, Jackie Whillock h
as mixed feelings about the case. She's glad that they've received the full valu
e of the grain, but disappointed the 1933 ruling hasn't been overturned.
Live at the Agriculture Australia 2006 conference
Matt O'Sullivan brings you National Rural News today live from the Agriculture A
ustralia conference in Sydney.
MATTHEW O'SULLIVAN: Hello, I'm Matt O'Sullivan, bringing you National Rural News
today from the Agriculture Australia conference in Sydney, the peak gathering f
or the grains industry.
As you'd expect the future of the single desk for wheat exports is a hot topic,
and confusion seems to be the common theme.
The future of GM crops is also being debated today and, of course, there's plent
y of speculation about whether we'll actually get a decent grain harvest this se
ason - as the ongoing dry drags on, many parts of Australia desperately need fol
low up rains.
But everybody seems to be talking about alternative fuels, with crude oil prices
hitting new highs this week. Delegates believe it's time the Federal Government
offered new incentives to make the switch to ethanol and biodiesel.
DELEGATE: "I think there is such an abundance of energy in Australia, you know,
they're not very worried about it. They might as well just sit on their arse and
not worry about it."
DELEGATE: "We're not getting any results at all with the biofuel. The Government
's just not interested to mandate it, and this is not actually going to get off
the ground until it's actually mandated, so it's really up to the Government."
DELEGATE: "This issue is now on the table, it's here. And we can't afford to be
sitting in here in three years' time not really knowing where we'll be and not p
icking up on the advantage that is there right now."
DELEGATE: "I fully support the biofuel concept in industry. I disagree with the
fact that they'll be getting an excise and I want a level playing field in terms
of acquisition of raw material."
MOS: Certainly, there's a feeling that the Government needs to do more, and the
grains industry needs to do more as well to get on the front foot and make sure
that grain growers have a big slice of this market for grain. There does seem to
be a concern that Australia is a long way behind other countries in tapping int
o the ethanol and biodiesel markets. One of the speakers here today is Terry Rei
nhart from Advance Trading in the US. Thanks for joining us, can you give us an
idea of the industry in the US?
TERRY REINHART: Today, it's about a 4.2 billion gallon industry, which compares
to five years ago when it was about a 1 billion gallon industry, and projections
are that by 2010 it'll be a 10 billion gallon industry.
MOS: So does a country like Australia have a long way to go to try and catch up
to that? Can we catch up to that?
TR: The good news about ethanol is it's a 3000-year-old process by which you tak
e corn and distil it into ethanol, so it's not real rocket science, and if you h
ave the money it's fairly quick to build. You can build a 100 million gallon pla
nt in 15 to 16 months, so it's not like it takes 20 years to develop this thing.
MOS: One of the big concerns here is from end users of feed grain, that it'll be
much more expensive and it'll be harder to get access to that grain. How is the
corn going into ethanol in the US affected the market there?
TR: To date, there hasn't been any effect on the end user, because corn is still
relatively cheap. Today in the US we're over supplied with corn, which is one o
f the motivators to develop ethanol as a demand for corn, but down the road, as
we continue to increase their production, we're going to have to price corn as f
uel as opposed to pricing corn as food and the livestock producer is concerned g
reatly in the US also.
MOS: That, I think, is going to be a growing theme, isn't it, that you have more
and more different types of grain going into producing fuel and into producing

food, when that's a big issue?

TR: Yeah, it's a big issue, and you can kind of sum up the whole thing if you go
back to, I think it was 1998, one barrel of crude would buy 4.7 bushels of corn
and today one barrel of crude would buy 30 bushels of corn, so the price relati
onship strongly favours corn as a fuel as opposed to being a food.
MOS: In terms of the US industry, here in Australia we've got a lot of different
plants setting up in small operations. There's no sort of overall structure. Is
that going to tell against Australia in the long run?
TR: I don't know. In the US, there's not much structure at this point either. Th
e early people in the ethanol industry were the Cargills and the ADMs of the wor
ld. They've been making ethanol for quite some time, but all the new capacity or
much of the new capacity is small start-up operations, groups of farmers going
together investing in ethanol plants and there's not much organisation today to
all the ethanol plants that are out there and time will tell. My guess is some o
f these plants are built in the right place and some of them aren't, and we'll j
ust have to see over time which ones were built in the right place.
MOS: I see a story quoting Sir Richard Branson saying he's investing in ethanol
plants in the US. Are they starting to attract that big business investment?
TR: Yes. Early on, four or five years ago, capital was a problem and you just wo
rked and worked and worked to try and find enough money to build an ethanol plan
t. To put it in perspective, to build a 100 million gallon plant - which is the
one they're building now - it takes about $170 million to build that plant. Wher
eas five or 10 years ago it was terribly difficult to raise that money, today yo
u're hearing stories of people raising that kind of money in 30 and 60 day perio
ds.
MOS: So there's reason for farmers getting involved in this to have some hope th
at it will take-off?
TR: In the US, I'd say it has taken off, it really has. And the limiting resourc
e in the US right now is plant capacity. And if we build all the plants that are
on the drawing board today, the limiting resource is soon going to become farml
and, enough land to produce enough corn to feed the ethanol plants.
MOS: Thanks for your time, Terry Reinhart from Advance Trading in the US.
You're listening to a special broadcast of National Rural News from the Agricult
ure Australia conference in Sydney.
Of course, alternative fuels hasn't been the only item on the agenda here - an e
ntire session has been devoted to the future of the single desk for wheat export
s in the aftermath of the oil-for-food Inquiry.
Reporter Alice Plate sat in on the session - and Alice, what's the feeling about
the future of our wheat export system?
ALICE PLACE: Well the feeling has actually changed a bit. In the past, many grow
ers, I think, have tried to separate the single desk issue, that is, AWB's right
to veto other exporters' applications to sell wheat overseas, from the ongoing
oil-for-food inquiry. And yesterday, at the panel, many of the growers groups ad
mitted that change is now inevitable.
MOS: They're unsure though about what sort of system they want for the future, i
s that right?
AP: That's right. Looking at the single desk marketing system, it's not simple,
by anyone's analysis of it. Breaking it down, you've got on one side the traders
, other major competitors - CBH, Graincorp, and the like - all trying to get int
o that market, saying that they can give growers better returns. And AWB, on the
other hand, is saying that it can maximise returns for growers and give them se
curity. But the Grains Council of Australia, which represents state-based grower
bodies, says that the majority of growers don't want a change from what they've
got. They want AWB to stay there. They want the single desk. On the other hand,
the Grain Growers Association, which is east coast grain growers, says growers
do want to know more about their options, that they are really starting to quest
ion the current system.
MOS: So are they looking for more leadership from the grains bodies?
AP: That's right. We did have a grower stand up yesterday and say, "Why aren't y
ou putting forward options and recommending those to us?" And we have seen the G

rains Council of Australia, they have done independent reports, also they've loo
ked at the Victorian Farmers Federation's option for the single desk, but they'r
e saying they're unwilling to analyse and make those recommendations until the C
ole inquiry wraps up in September.
MOS: Thanks Alice. Speaking of the inquiry, AWB has told the Federal Court today
it will cut by a third the number of documents it's battling to keep away from
the Cole inquiry. Lawyers for the wheat exporter have told the court that nearly
400 documents will be struck from the confidential list, leaving 900 still to b
e contested. And that hearing is continuing in Melbourne.
Here at the conference, reporter Michael Condon has been in one of the GM sessio
ns. What has been discussed?
MICHAEL CONDON: One of the contentious issues surrounding the grains industry al
ways is genetically modified crops, particularly food crops. Today we've heard a
couple of distinct points of view expressed. We heard from the the director of
scientific affairs for Monsanto. He's actually addressing the conference as we s
peak now. Bit of a coup for the conference.
He's come from the United States saying that he knows that farmers already suppo
rt GM crops. He says they get better yields. They use fewer chemicals. They have
higher initial seed costs, but those are easily recouped. He's saying thatHe's
saying that farmers are in favour. He does concede, though, that there is a bit
of a way to go to convince consumers about eating the food that's made from g-m
crops. Monsanto, of course, famously put their GM wheat on hold for the time bei
ng. He says there are no plans to change that.
But Mr Glick says he's got a strong feeling that consumers will soon be convince
d. They'll come to the party, he says. They'll realise that g-m crops can do all
sorts of things. They can put in special oils to reduce heart disease. They can
have certain complex carbohydrates to combat diabetes, and g-m foods also have
less exposure to chemicals in the growing process. So he says he thinks they wil
l be convinced.
MOS: What about the food companies? What do they think about that?
MC: At this stage, George Weston Foods general manager was here as well. He was
asked that question. He said at this stage consumers aren't ready. They'd prefer
to see the segregation process remain. He was particularly relating to canola.
Keep the oilseeds separate that are GM. The other, that's non-GM is used in food
. But he said too that he thought that eventually consumers would change their a
ttitudes, and it was up to industry and up to research to try and find ways of p
romoting health benefits in GM to consumers as well.
MOS: Thanks Michael, reporter Michael Condon here.
Cole inquiry set to resume public hearings
The Cole inquiry into the oil-for-food scandal will resume public hearings in Sy
dney in less than two weeks after delays caused by a legal challenge to the rele
ase of documents.
Board members of wheat exporter AWB could be among those called to give evidence
from August 22, although witness details have not been confirmed.
Irrigators fined for stealing water
Two irrigators in south-west New South Wales have been fined for stealing water.
The state's Department of Natural Resources claims a farmer at Euston was found
to have extracted more water than he was entitled to, while an irrigator at Barh
am tampered with a meter on a water pump.
Department spokesman Peter Wells says the breaches were discovered during routin
e monitoring and prompted follow-up investigations.
"In a drought it's more important than ever that everyone sticks to the rules be
cause the rivers are very stressed the other users are typically on low or nil i
rrigation requirements," he said.
Wool growers plan ethical wool brand launch
A group of wool growers is planning to launch an ethical wool brand to try to ca
pitalise on consumer demand for environmentally and humanely grown products.

The Australian Wool Growers Association says new branding and marketing innovati
ons are needed to help lift low wool prices and stop the loss of growers from th
e industry.
Director Will Crozier wants to see all sectors of the growing, processing and ma
nufacturing chain benefit from the brand.
"Our brokers have been talking to people in China and Italy," he said.
Fruit and vegie campaign push gains momentum
An international push to encourage more people to eat fruit and vegetables is ga
thering momentum.
Backed by the World Health Organisation, the campaign encouraging people to eat
two serves of fruit and five vegetables every day is running in 10 countries to
try to reduce disease and death rates.
President of the International Fruit and Vegetable Alliance Ron Lemaire says inc
reased consumption will help growers as well as save lives.
"In WA we know that right now there is 97 per cent awareness of the 'two and fiv
e' campaign, they have already increased the number of servings by one per day p
er person, we already see improved health within that community, we already see
reduced health care costs," he said.
"The producer also benefits through increased sales.
Wine blueprint to focus on new innovations
New innovations dominate a new seven year blueprint for the Australian wine indu
stry which was launched in Adelaide this morning.
Compiled by the Australian Wine Research Institute, the plan looks at what consu
mers want from their wine, how growers and wineries can improve production and h
ow to ease the grape glut.
Managing director Sakkie Pretorius says it will help the industry to stay compet
itive.
Rural commodity price index up 2.5pc
Stronger global commodity prices are helping to offset rising
the higher value of the Australia dollar.
The Westpac-National Farmers Federation rural commodity price
up 2.5 per cent on the same time last year.
The jump is being attributed to solid demand and dry seasonal
Northern Hemisphere.
Meanwhile the cotton industry is predicting prices to jump to
ale next year due to demand from China.

interest rates and

index for July was
conditions in the
more than $400 a b

Surveys to try and identify Timor Sea diamond fields

Oil companies working in the Timor Sea have discovered that there may be diamond
s on the Tiwi Islands.
Oil and gas explorers have found evidence of kimberlite, the host rock of diamon
ds, in the ocean floor west of Melville and Bathurst Islands.
As a result, the Northern Territory's Department of Mines will carry out aerial
magnetic surveys of the islands to try to identify new diamond fields.
Richard Brescianini, director of the Northern Territory Geological Survey, dream
s of finding a major deposit.
Court dismisses farmer's uranium concerns
A farmer at Esperance in Western Australia is fighting to stop uranium explorati
on on her property.
Yvonne Hallam took court action this week to try to stop the exploration applica
tion but her case was dismissed.
She says she is worried about biosecurity problems from letting people on to her
land.
"I think we've got the right to continue with the farming that we've been doing
for probably 40 years, and people before us, and people after us without having
to worry about who's coming and going, and opening, and shutting gates, or maybe

not shutting gates and all that sort of thing," she said.
More women entering mining workforce
The resources boom has led to a more women enter the mining workforce across Aus
tralia.
More than 3,500 women have started work on mine sites over the past three years
and now make up 18 per cent of the workforce.
And Mitch Hooke from the Minerals Council says the trend will have to continue t
o make up for a severe shortage of workers.
"They are attracted by pay, yes they are attracted by the opportunity but they'v
e started to see that the macho image of the mining industry is not quite as str
ingent as it was," he said.
"Don't forget women make the best truck drivers.
"I mean we've got a couple of mine managers that are women, we've got an Indigen
ous female mining engineer.
Bull sale 'solid'
It was a big day in Broome in northern Western Australia yesterday, with Ladies
Day at the races and the annual bull sale.
One hundred and thirty-six beasts went under the hammer, with a Kimberley pastor
alist paying the top price of $4,500 for a brahman bull.
Tony Cooling from Landmark Broome says the sale was solid, without being outstan
ding.
"We had a very very good clearance, the average was slightly up on last year so
both the vendors were smiling and the purchasers all got the fair share of bulls
," he said.
NSW producer's cattle sets record price at Ekka
A New South Wales beef producer has had a very successful trip to the Ekka in Br
isbane.
After a 12 hour drive from Singleton, in the Hunter Valley, Greg Ball has scored
wins in three of the four categories of the lead steer competition at the annua
l agricultural show.
And the auction of his winning prime cattle, set a record price.
"Twenty-seven dollars a kilo for the champion steer - I think that'd be the most
money we've ever received for a steer at a competition and I think some people
are claiming it as an Australian record, I don't know," he said.
Tassie camembert takes out world cheese award
A Tasmanian camembert has beaten the country that invented it at a world cheese
show in the United States.
The winning sample from the National Foods' cheese factory in Burnie was up agai
nst 100 entries from all over the world, including the best from France.
Chuffed cheese maker Kurt Wyss says the Tasmanian Heritage Signature Camembert i
s unlike any other in the world.
"It really stands out compared to other camemberts as the flavour is a more full
er, earthier and a really, really creamy texture," he said.
Govt accused of sitting on oil review
The Democrats have accused the Federal Government of failing to force the major
oil companies to meet their biofuels targets.
The party believes the Government is sitting on a review which reveals the oil c
ompanies are less than halfway towards meeting their target of selling 350 megal
itres of biofuel by 2010.
Nationals Senator Ron Boswell also believes the oil retailers are not making a b
ig enough effort to adopt alternative fuels.
"I know fairly closely that from the time the Prime Minister called the oil comp
anies in, the oil companies promised the Government that they would sell 89 mill
ion litres this year, we're now almost in September and I would expect they've s
old about 10 million litres," he said.

"Now that is not honouring the commitment to the Government ... and they need to
be brought to account."
The Federal Government has defended the oil companies, saying they are on track
to reach the target.
Meanwhile the nation's peak motoring body says fuel prices could surge to a $1.8
0 a litre by the end of the year.
Alan Evans from the Australian Automobile Association says there has been troubl
e in the Alaskan oil fields, Nigeria and the Middle East which makes us vulnerab
le to a price increase:
Forrest defends decision to abstain on migration Bill
Former National party chief whip John Forrest says his decision not to support t
he Federal Government's controversial migration legislation is based on his pers
onal experience of refugees' contribution to rural Australia.
Mr Forrest resigned from the position yesterday after abstaining from the vote o
n the plan to detain and process all asylum seekers offshore.
The Victorian-based member for Mallee says he has supported the visa cases of as
ylum seekers working in horticulture and local abattoirs and has visted others i
n detention.
"We have literally got thousands of refugees living amongst us, more particularl
y along the Murray Valley but they are spread right across the electorate," he s
aid.
"When people meet these folks and listen to their story, their perception about
them changes.
Biodiesel price cut unlikely
The country's biggest oil refiner says it will not be offering incentives for bi
odiesel to match its announcement to make ethanol cheaper at the pump.
Under a new program, Caltex and BP will offer ethanol-blended fuel at three cent
s per litre less than regular unleaded fuel.
Caltex government affairs manager Frank Topham says biodiesel is too expensive t
o cut prices for motorists.
"Biodiesel is significantly more expensive than ethanol for us to purchase, for
the producers to produce and therefore a three cents a litre discount will not b
e possible," he said.
Caltex has also rejected claims that it is not buying fuel from the county's big
gest biofuels producer.
Govt lawyers seek access to secret AWB documents
Lawyers for the Federal Government are fighting for access to a handful of secre
t AWB documents which it claims involve possible fraud.
In submissions today, counsel for the Commonwealth, Ian Harrison SC, told Justic
e Neil Young in the Federal Court, the selected material must be released to the
Cole inquiry, even if it is privileged because it indicates evidence of possibl
e fraud.
Mr Harrison said AWB inflated its wheat price to pay Tigris $8 million, with par
t of this money being used to pay $2 million in compensation to Iraq for iron fi
lings contamination in wheat shipments.
Mr Harrison said this was a clear breach of UN sanctions and fraudulent.
Third party to oversee NLIS audit
The Federal Government will appoint an independent third party to oversee an aud
it of the National Livestock Identification System database to address cattle pr
oducer concerns once and for all.
The Australian Beef Association lobby group feared the audit would be conducted
in-house,and not effectively address its claims that the electronic livestock ta
gging system is not working effectively.
But Agriculture Minister Peter McGauran has released the terms of reference for
the 10 week audit and says he is just about to appoint a major accounting firm t
o run it.

He says every major group will have a say.

"The Australian Beef Association will be contacted and their concerns will be co
mpletely and fully explored," he said.
Wool growers urged to keep research levy
Wool producers are being urged not to lodge a protest vote against maintaining t
he 2 per cent levy which funds research, development and marketing by Australian
Wool Innovation (AWI).
With plans afoot to merge AWI with Australian Wool Services (AWS), some growers
are worried their funds will be used to pay a $27 million debt owed by AWS in th
e United Kingdom.
Chairman of WoolPoll 2006 John Keniry understands growers are hurting from the d
rought and low wool prices, but says cutting the levy will create new problems.
"Zero per cent means that there is no levy income," he said.
"If there is no levy income from growers then there is also no contribution from
the Federal Government and that means there is no ongoing income for AWI.
"AWI would spend the reserves it has simply to finish off the contracts that are
currently in place and then turn out the light, which, from my personal view as
a wool grower, would be a sad event if we just walked away from research altoge
ther."
The WoolPoll vote closes on November 3.
The wool market remained steady this week, the eastern market indicator up just
one cent to 742 cents per kilogram.
The market remained unchanged in the west.
New regulations restrict animal health work to vets
Under proposed new animal welfare regulations in New South Wales, a range of rou
tine animal health procedures will be restricted to vets.
From September 1, vets will be responsible for dehorning cattle, and mulesing sh
eep over a year old, and castrating cattle, sheep and goats over six months of a
ge.
The new regulations also classify most equine dentistry as veterinary science, l
imiting equine dentists to basic teeth cleaning and rasping.
Master equine dentist and trainer Ian Wharton says the regulations will be devas
tating.
Sunbeam won't renew currant contracts
Australia's largest dried fruit processor says it will not renew or issue new co
ntracts for currants.
Murray Valley growers have received falling returns for the past six years, rais
ing questions about the industry's viability.
Under existing contracts Sunbeam Foods will still have to accept 3,500 tonnes of
fruit this year, but spokesman Chris Ellis says the global market is oversuppli
ed and it is hard for Australia to compete.
"I think we were hopeful that the Greek crop might be diminished this year or th
at some sort of political trading resolution would have come and the situation w
ould have eased," he said.
"For those growers impacted they've got to find another opportunity.
Wine expert predicts grape glut's end
A leading wine authority says Australia's grape glut will soon be over and it is
nothing to worry about.
Author of the Wine Atlas of Australia James Halliday says boom and bust cycles a
re a normal part of agriculture.
He says like sugar, wine will revive.
He has played down the fact that up to 100,000 tonnes of grapes were left unpick
ed in the last Australian harvest.
"That's still only 5 per cent of the total potential harvest, so it's by no mean
s as dramatic as the headlines would have you believe," he said.

Aust firefighters help battle US blazes

A team of 47 Australian and New Zealand firefighters have flown to the United St
ates to help battle some of the worst summer wildfires in more than a decade.
The crew is on a four-week deployment in the western part of the US, where more
than 40 fires are burning.
Jeff Pike from Victoria's Department of Sustainability and Environment says Aust
ralian firefighters will have to work in unfamiliar conditions.
"Most of their fuel is soft wood fuel systems, pine spruces and fuel like that,"
he said.
"The elevations they operate at are a little higher than here.
Qld's finest cattle on show at Ekka
The who's who of Queensland's cattle industry is at one place today - at the Bri
sbane Ekka.
The Ekka is playing host to one of the nation's most prestigious cattle competit
ions.
The cattle are bringing good prices at today's auction.
Numbers are down a little at the Ekka prime cattle competition this year, number
s of cattle that is, but there are certainly plenty of people.
Between 200-300 have gathered around to hear how much Queensland's meat processo
rs are prepared to pay for the cream of Queensland's fat cattle.
Already the grand champion pen of six limousin, exhibited by Eddie Nolan from so
uthern Queensland, has made 250 cents per kilogram liveweight.
Grand champion steer of the show, another limousin, made 305 cents a kilo.
Noxious weed found to benefit salmon
A Tasmanian scientific researcher is turning one of Australia's most noxious wee
ds into beneficial omega-3 oils.
Matthew Miller has found that feeding pattersons curse, or salvation jane, to sa
lmon significantly increases their levels of the healthy oils.
Mr Miller began using oil extracted from the weed as fish food after identifying
the particular compounds needed to stimulate omega-3 production.
"Patterson's curse have this really unique special oil and pattersons curse has
the highest level of this oil," he said.
Snowy River to reap benefits of western water project
A big water-saving project is being officially opened in western New South Wales
today, with benefits for the iconic Snowy River.
The $28 million redevelopment of the Barren Box Swamp near Griffith will save 20
gigalites of water.
It is one of the biggest projects funded under the New South Wales, Victorian an
d Federal Governments program to boost flows in the Snowy.
Murrumbidgee Irrigation chairman Dick Thompson says a natural wetland on the sit
e is also being restored.
"We've already seen a lot of the bird life return," he said.
Rural youth forced to travel for abortions
A new study has found teenagers in country Australia are travelling up to 100 ki
lometres to have abortions in the cities, because of a lack of services.
The report has been published today in the Australian and New Zealand Journal of
Public Health.
Co-author Carolyn Nickson, from the University of Melbourne, says almost one in
five teenagers are leaving their regional towns to access termination services.
"Eighteen per cent of teenagers had travelled over 100 kilometres, 28 women in o
ur sample had travelled from interstate," she said.
"Twenty of those were from New South Wales and 10 of those were from the Albury
region.
Cowra Abattoir in receivership
The abattoir at the centre of a row over the Federal Government's new industrial

relations laws has been placed into receivership.

Two hundred workers were locked out of the Cowra Abattoir in New South Wales thi
s morning, and meat supplies to local butcher shops were suspended.
The plant hit the headlines earlier this year when management sacked 29 workers
under the IR laws, and offered to rehire them on different conditions.
Charlie Donzo, from the Meat Employees Union, says a new workplace agreement had
been developed, and he is surprised and disappointed.
"This is absolutely devastating, not only for myself but for the workers at Cowr
a," he said.
"Given the problems we have had over the last three or four months, and the effo
rts that the fellows have put into putting in a new agreement in place to make t
he plant more efficient and that.
Shipment fodder blamed for livestock deaths
The use of new fodder on four live sheep shipments last year is being blamed for
a slight rise in livestock death rates.
Meat and Livestock Australia (MLA) and Livecorp figures show small increases in
mortality rates for sheep and cattle during 2005, and a slight fall in goat deat
hs.
Out of 4.2 million sheep exported last year, 0.95 per cent died.
MLA general manager Mike Hayward says that was largely due to the fodder, which
was less dusty but contained less fibre and nutrients.
"It essentially led to an increase in mortalities because a more than normal num
ber of the sheep failed to eat," he said.
"There was a higher level of disease in the animals as a result of that lack of
fibre.
"It was as simple as that."
Single desk changes 'would hit AWB shares'
Investment banker JP Morgan says shares in wheat exporter AWB could drop to $2.8
0, if the company loses control of the single desk for wheat exports.
Shares fell last week to $3.36, which is lower than the company's debut price on
the Australian Stock Exchange.
An analysis by the banker also shows that AWB's share value would hover around $
4 a share if it held onto the single desk but more competitors were allowed to s
ell wheat overseas.
Greg Canavan, a senior equities analyst from Fat Prophets, says that is not surp
rising given AWB's experience in wheat sales.
"When you look at the whole structure of the market AWB, given its monopoly posi
tion, does have a very big market share," he said.
"If it didn't have to give that market share up then it would still be in compet
ition with the other players coming in.
US wheat forecast continues to drop
The US wheat production forecast continues to slide but there has been a sharp r
ise in grain prices.
The latest US Agriculture Department wheat estimate is off another 5 million bus
hels from last month at 1.8 billion.
But that is just a small decline compared with the 14 per cent drop so far from
the last marketing year.
USDA's World Agricultural Outlook Board chairman Gerald Bange says the bigger st
ory is a 20 cent price increase on tightening competitor production in Argentina
, Canada and the EU.
"EU-25, in particular, was down pretty sharply," he said.
"We can down 6.8 million tons on our estimate of their 06/07 crop and the reason
for that is they were hit really hard by some real extreme heat in June and Jul
y."
Farmers fear further chemical bans
Farmers are worried the Federal Government will ban access to more chemicals com

monly used in agriculture, in response to last week's terrorism arrests in the U

nited Kingdom.
Some say restrictions on the ammonium nitrate fertiliser have made the chemical
prohibitively expensive.
The Victorian Farmers Federation says the future of another 84 fertilisers, herb
icides and fumigants is being considered by the Government.
Spokesman Geoff Kendall says because farmers already have to obtain training cer
tificates for many of the chemicals, the Government should not over-react.
"We understand it will be the farmers won't have access to these products," he s
aid.
"Basically they'll be banned from using them in the future so we're very very co
ncerned.
World Bank urges seasonal work visas for islanders
The World Bank has backed farmers' calls for unskilled Pacific Island workers to
fill labour shortages in Australia.
The Federal Government has previously rejected any changes to the visa scheme wh
ich allows skilled migrants into the country
But the bank says the Government could introduce a pilot program, allowing islan
ders to spend part of the year working in seasonal labour jobs.
Senior economist Manjula Luthria says the the islanders need the work or some Pa
cific economies could collapse.
"Forty per cent of the population are youth and in less than 10 years from now,
they're going to want to be making the transition from working basically off the
land to paid employment," he said.
"A small percentage are actually going to find it domestically.
Supply increase slashes macadamia prices
An increased world supply has cut the price of macadamia nuts by almost half and
investors are counting the cost.
Up to 20 per cent of macadamia farms have changed hands in the past two years, d
ue to strong demand and sustained industry growth.
But Andrew Heap, from the Australian Macadamia Society, says increasing fuel cos
ts and mortgage repayments has now hit consumer demand.
He says over-investment on some farms will create problems.
"Most of those investors have been in a financial position to pay more than the
agricultural value say these farms are worth," he said.
Cattle TB surveillance program nears end
After more than 30 years, the tuberculosis surveillance program for cattle will
wrap up at the end of this year.
The nation-wide program has been monitoring the health of cattle in northern Aus
tralia since 1970.
The chief veterinary officer in the Northern Territory, Brian Radunz, says it is
seven years since tuberculosis was detected there, and he is 99.9 per cent cert
ain it has been wiped out.
"Due to the nature of TB you can always have a infection hidden out there but it
's very unlikely given the fact that for the last 10 or so years if we have foun
d infection we have been removing all the animals that have been exposed to that
infected animal," he aid.
"So unless there's some undetected infection around we should never detect it.
Logging detrimental to possums' sex life: study
The results of a five-year study claims farming and logging is having an impact
on the sex life of possums.
The mountain brush tail possum of north-eastern Victoria has been in the spotlig
ht, and found to only have one mate in areas which have been cleared.
Professor Jenny Martin, from the University of Melbourne, says monogamy is rare
in mammals, and it is occurring because there are fewer trees for sleeping and e
ating.

"But at the other site where there was heaps and heaps of large trees with hollo
ws, huge amounts of food trees and most importantly that those two types of tree
s were very close to one another, females could have extremely small home ranges
while still getting access to the same amount of resources in terms of food and
shelter," she said.
Rain cheers Louth race goers
Recent rain was a reason to celebrate at the 48th annual Louth races in western
New South Wales over the weekend.
After almost a decade of drought, the red dust has been replaced by a blanket of
green.
About 4,000 people flocked into Louth and committee president Tess Le Leviere sa
ys the rain made a difference.
"People started working about two months ago on the different jobs and they get
together at the pub and talk about it and by the time it is the day there's been
a lot of excitement and people forget just for a little while their problems,"
she said.
"We've been very lucky because we've have three inches - nearly four - of rain o
ver the last six weeks and everything's very green.
First independent sugar shipment leaves Cairns
The first shipment of sugar from two Queensland mills operating outside the indu
stry's single desk has left Cairns bound for China.
Queensland Sugar Limited's monopoly on export sales has ended under deregulation
, with the Mossman and Mulgrave mills deciding to join the trade.
Worker Barry Donnelly was at the Cairns sugar terminal to watch the 24,000 tonne
s of sugar being loaded.
"This will take about 17 hours to load this ship - there are five holds on this
ship and they will just about be filled to capacity," he said.
Australian judge makes mark on English show
An Australian cattle breeder has made his mark in England, after being invited t
o judge at the prestigious Great Yorkshire Show.
Rod Summers, who owns Maranga Stud at Evandale in Tasmania, was the mandatory in
dependent judge of the belted galloway breed.
In true Australian style he managed to ruffle a few feathers before proving he k
nows his stuff about the British breed.
"A lady took me to task [about] why she was placed fourth instead of third after
I swapped them, before I ordered the ribbons," he said.
"Anyway, then she explained to me how the beast I'd placed third she'd sold last
year and the beast I'd placed fourth was the one she'd kept.
Demand fuels lobster breeding research
Australian marine scientists are trying to farm tropical lobsters, in a bid to m
eet the insatiable appetite of the Chinese.
China is prepared to pay $30 a kilogram and demand cannot be met from wild stock
s.
Mike Hall, from the Australian Institute of Marine Science, says the biggest cha
llenge to farming lobster is overcoming the disease problems which kill young la
rvae.
"If we can get these animals from eggs through the larval phase and through the
grow out phase to harvesting in a very short time, or in a short time, you're go
ing to have a higher profit margin than one that takes extremely long," he said.
Cannery wins US export deal
Australia's last tuna cannery has secured a $40 million export deal with the Uni
ted States.
Growers urged to aid canker-hit farms
Australian Citrus Growers wants members to donate money to help colleagues in ce

ntral Queensland affected by the canker outbreak.

More than half-a-million trees were destroyed following the detection of the dis
ease near Emerald in July 2004.
The Queensland and Federal governments are footing 80 per cent of the bill but i
ndustry needs to contribute about $200,000.
President Mark Chown is hoping other regions will help out.
"People can contribute as much as they wish," he said.
"We understand times are very tough for all growers at the moment, however, thes
e people have had their entire orchards removed.
"Looking out the back door there's nothing, so we're very concerned about that a
nd this project was put forward and we've been eager to be involved."
And as the winter citrus season wraps up in the Riverland and Sunraysia, fruit e
xports to China are looking shaky.
Growers have gained official access to the country but they are worried about a
tough quarantine protocol to keep the pest, fuller's rose weevil, out of China.
The Federal Government has rejected calls to underwrite the initial fruit shipme
nt.
But Andrew Green, from SA's Citrus Industry Development Board, has not given up
hope.
WA pushes for federal drought relief funds
The West Australian Government will apply for exceptional circumstances (EC) rel
ief for some of the state's worst drought-affected regions.
It is in negotiations with the Federal Government to roll over an existing EC cl
aim in the northern agricultural region but extend it further into the central w
heatbelt.
Dexter Davies, from the Dry Season Advisory Committee, says parts of the state a
re the worst he has seen anywhere in Australia.
"It's the driest start in history," he said.
"In the northern areas ... all chances are gone.
"Mullewa, Morowa, through there, it simply hasn't rained and that goes right out
to the coast to Northampton - up there they just simply haven't had a winter at
all.
Farmers welcome migration Bill's collapse
Farmers are among those who have welcomed the Federal Government's decision to a
bandon its proposal to detain and assess all asylum seekers offshore.
Prime Minister John Howard has withdrawn the legislation because the Government
did not have the numbers to get it through the senate.
Ian Skiller says 90 per cent of the asylum seekers he employs on his farms at To
oleybuc, in north-west Victoria, are farmers who lost their own properties in th
e Afghan war.
"The thing that annoys me is that they have knowledge of horticulture and farmin
g and it seems a waste that we're not utilising those skills," he said.
"I think they're an asset to the area.
Govt to hear farmers' chemical access concerns
The Federal Government says it will listen to farmer concerns before deciding wh
ether to restrict access to more agricultural chemicals in the wake of the lates
t terrorism threat.
There is currently a review of 84 herbicides, fungicides and fumigants.
Farmers are worried that a new licensing system being considered by the Governme
nt will make the chemicals too expensive.
Agriculture Minister Peter McGauran says there needs to be a balance between sec
urity concerns and farming needs.
Ben Fargher, from the National Farmers Federation, is hopeful the Government can
be persuaded to keep existing training and certification programs instead.
"We will sit down with government, we will explain how the current schemes work
with government," he said.
"There is government involvement in this and government people I have spoken to

are aware of the industry schemes.

BJD trace proves NLIS's worth: vet
The Queensland Government has rejected criticism of the National Livestock Ident
ification System (NLIS), after using it for the first time to track six potentia
lly diseased cattle across three states.
The system, which aims to achieve whole-of-life traceability, has been accused o
f being inaccurate and costly, and is now subject to an independent audit.
But Queensland's principal veterinary officer, Dr Rick Webster, says the system
has been used to trace cattle from a herd diagnosed with Bovine Johnes disease (
BJD), avoiding a costly eradication program.
"Because of NLIS we were able to check the records and see that all six animals
had all been slaughtered and they had only spent time alive in feedlots," he sai
d.
Middle East unrest hits cattle exports
The conflict in the Middle East is affecting some sectors of the live export cat
tle trade.
Israel is a consistent buyer of large bulls from the Kimberley in far north West
ern Australia.
But over the past month, inquiries have eased and prices have dropped 20 to 30 c
ents a kilogram.
Elders livestock agent Kelvin Hansey says the instability between Israel and Leb
anon has hurt the small bull market.
"I mean it's a 30 per cent drop in the price already, and has the potential thou
gh to stop for several months," he said.
"They are big events, these international events.
Abattoir's closure hits lamb prices
Livestock prices in New South Wales have reacted to the closure of the Cowra Aba
ttoir, with lamb prices falling $3 to $4 a head.
An administrator was appointed and the abattoir's operations were shut down yest
erday.
Management claims the meatworks had been losing between $30,000 and $50,000 a we
ek.
Chris Grove, from the New South Wales Sheep Meats Council, is concerned that the
re is one less buyer in the market.
"What it will probably mean will be a downturn in competition," he said.
"One less buyer means less competition but it is just to be hoped that there is
enough competition in the market.
"A big problem we are facing in the industry, all the meat industry and the shee
p industry, is the reduction in kill capacity.
"Of course this has been made worse by closure of Cowra Abattoir.
Cattle feedlot to host ethanol plant
International investment firm Babcock and Brown is planning to build a $120 mill
ion ethanol plant at a cattle feedlot in southern New South Wales.
The proposed facility at Rockdale Beef at Yanco will produce up to 150 million l
itres of ethanol a year, and the grain by-product fed to the cattle.
Rockdale's general manager Paul Trojah says the ethanol production will compleme
nt the feedlot's plans for a biogas plant to generate electricity from cow manur
e.
"Rockdale Feedlock will be producing about five megawatts of energy a day from a
ll of the waste streams," he said.
Farmers question fuel package benefits
The Federal Government has pumped $1.5 billion into a plan to tackle high fuel p
rices, but there are questions over whether the farm or transport sectors will b
enefit.
Almost half of the package will cover the cost of converting and installing LPG

tanks.
Grants of up to $2,000 for the conversion are available immediately.
But it is not expected to benefit farmers because it only applies to private use
rs, and most farmers use machinery run on diesel, which cannot be converted to L
PG.
There are also concerns conversions will be delayed because of a huge demand and
limited resources.
A three-year program to help service stations adopt equipment to sell ethanol-bl
ended fuel, has also been announced.
But the biofuels industry would have preferred a mandate for ethanol-blended fue
l and more pressure on oil companies to buy ethanol.
The Federal Government will also spend $123 million to encourage people to use w
ind and solar power over generators in remote communities.
There is $76 million to encourage more oil exploration.
Fishing industry
The fishing industry says the fuel package is of no assistance.
Neil Green, from the Queensland Seafood Industry Association, says primary produ
cers have been hoping for excise cuts to reduce fuel costs.
"I don't think politicians, in particular the Prime Minister, actually realises
where the fishing industry is," he said.
"Financially we're on a knife's edge and fuel is our big cost.
Fines for minor breaches may exacerbate driver shortage problem
Livestock transport operators are concerned that new fatigue management measures
proposed by the National Transport Commission could force drivers out of the in
dustry.
The commission's proposal to improve driver fatigue suggests a demerit system fo
r log book offences, the same system used for general traffic offences.
Ross Fraser from Frasers Transport in Queensland says while road safety is param
ount, the shortage of drivers will get worse if they start being fined for minor
breaches.
"We're really concerned about it because we're getting drivers who are at the mo
ment being fined for 15 minutes over in their log book - 15 minutes over a drivi
ng period that may have happened three weeks ago," he said.
ACCC recommendations threaten phone rental parity
The cost of phone line rentals in regional Australia could rise dramatically if
the Federal Government accepts new recommendations from the Australian Competiti
on and Consumer Commission (ACCC).
Telecommunications consultant Gavin Priestley says the ACCC has recommended a wh
olesale line rental of $7.00 a month for CBD customers, but $34 for major region
al centres.
He says that means rental costs for lines in smaller communities could rise much
higher.
"What it signals is the average of the access prices for telephones right across
Australia is going to change and our worst fears potentially are going to be re
alised," he said.
"That is country people will not get parity and will pay more for access to thei
r phone line.
"When the sale of Telstra was touted we were guaranteed that we would get parity
of price and future proofing of the service. This is certainly not parity."
The National Farmers Federation (NFF) says it is concerned and seeking more deta
il from the Communications Minister.
US grain growers anxious to control ethanol plants
Australian investment in US ethanol plants is causing a stir among US grain grow
ers, who are anxious to hold onto control of their new industry.
Mid-west US producers said at a farm bill listening session they are concerned f
oreign investors that Wall Street might gain too much control of US ethanol prod

uction.
National Farmers Union president Tom Buis says "it's been a 30-year struggle, ba
sically by farmers to get this industry kick-started. And now that it's arrived,
they just don't want to sit back and watch the control and all the profits go e
lsewhere".
Sugar prices drop
World sugar prices have fallen below 13 US cents a pound, down from a high of mo
re than 18 cents earlier this year.
It is bad news for Australian growers, who are about halfway through the harvest
and had been hoping for a breakthrough season.
Labor claims underdog status in Qld election
Water and health are expected to dominate the Queensland state election, set for
September 9.
It is 65 years since a Labor government won a fourth term in office in Queenslan
d.
But despite holding 60 of the 89 seats in State Parliament the party is claiming
underdog status, in part because its lost the last three by-elections and at le
ast 10 sitting members, including a number of ministers, are not contesting this
poll.
The Liberal Party has a new and untested leader who has been in the job for less
than a week and the Coalition needs to win 22 seats to take office.
The key issues are the water crisis in the south-east and the stressed health sy
stem statewide.
The Premier says his plans for a south-east water grid and a $9 billion injectio
n into health over the coming years will solve the problems.
Farmers urged to lobby for weed bio-control programs
Scientists are calling on farmers to lobby for more natural ways to control weed
s.
The Co-operative Research Centre for Weed Management says the use of bugs and di
seases to control invasive plants over the past 100 years has provided $10 billi
on worth of environmental and agricultural protection.
Despite criticism that natural control methods are too slow and unreliable, Dr R
achel McFadyen says the new research suggests previous efforts have prevented in
vasive plants from wrecking the environment.
"What we're saying to farmers is if farmers have got a significant problem year
after year then they should be asking their agriculture representatives and thei
r state government members, is there a bio-control program against this weed?" s
he said.
"And if there is, does it have enough funding to get it going and if there isn't
why is there one?
"Because it's one of the best returns on money that they can get."
Meanwhile large tree cropping companies in Western Australia are opening their g
ates to agist sheep from drought-stricken farms.
Integrated Tree Cropping has 70 plantations in the state's south-west and wants
to use sheep to control weeds.
Spokesman Andy Wright says it should help the company too by saving thousands of
dollars a year on pesticides.
"We would have to carry out management on those weeds," he said.
"We'd have to spray the weeds within the plantation or we would have to slash ro
und the outside of the plantation.
Wool bodies launch national mulesing assurance program
The wool industry's peak bodies have launched a national mulesing assurance prog
ram to try to reassure wool processors that animals are being treated humanely.
Australian Wool Innovation and Wool Producers will improve training for 1,200 mu
lesing contractors by the end of the year to minimise pain and suffering for ani
mals.

Under the practice of mulesing, skin is cut

the risk of flystrike.
Secretary of the program, Charlie De Fegely
it has ethical standards.
"I've even heard of some contractors paying
because they want to have best practice and
g the industry back," he said.

from the backside of lambs to reduce

says the wool industry wants to show
for their producers to do it simply
they don't want to be part of holdin

Wool growers want to postpone wool levy vote

The Australian Wool Growers Association will ask the Federal Government to delay
an industry vote on the future of the wool levy.
This year's Woolpoll is asking growers to support an ongoing 2 per cent levy to
fund research, development and marketing by Australian Wool Innovation (AWI).
But with AWI planning a merger with Australian Wool Services, the association's
Martin Oppenheimer says growers need more information about the new organisation
before they can make a decision.
"At the moment in the current climate there's no way that wool growers are going
to be able to afford extra levies," he said.
"What they want to be able to do is to split their levies between research and m
arketing.
Green light given to third poppy processor
A third poppy processor has been given the green light by the Tasmanian Governme
nt.
TPI Enterprises has been permitted to manufacture and sell narcotics from a smal
l trial plot, but managing director Jarrod Ritchie says it is a significant step
.
He is hoping to lock in future orders, despite a world oversupply of poppy-deriv
ed products.
"There is price pressure on morphine, I don't think anyone's denying that," he s
aid.
"Countries like Turkey are sitting on significant stockholds but we see our main
focus as being thebaine and we're very confident of getting those markets.
Mystery virus wipes out flying foxes
The skies around the Northern Territory town of Katherine have been clearer over
the past 10 months, due to a mystery virus that is wiping out large numbers of
native 'little red' flying foxes.
While the mammal is considered a pest to farmers and townsfolk, the scientific c
ommunity is concerned the ecological system will suffer from a 50 per cent reduc
tion in flying fox numbers.
Andrew Pickering from Northern Territory Parks and Wildlife says no one knows wh
at impact the fall in numbers will have.
"There's possibly a roundworm and a virus, not knowing exactly what to pinpoint,
" he said.
"Flying foxes are actually a huge ecological benefit to the bush around here as
pollinaters and seed distributors and so the loss of those big mega colonies tha
t we typically have they can number up to hundreds of thousands have disappeared
at least from the Katherine region."
Meanwhile for the first time all efforts to manage the fruit fly are being recor
ded in a national stocktake.
It is looking at surveillance, research and development, market access and trade
, and quarantine inspections.
Farmers hail success of tuna trial program
Tuna farmers are hailing the success of a trial program to catch fish all year r
ound.
To test growth and health levels, 65 tuna have been held in cages off Port Linco
ln in South Australia for the past 17 months which is four times longer than usu
al.

The fish were harvested yesterday and David Ellis from the Tuna Boat Owners Asso
ciation says they were in excellent health.
"We're going to get the weight and the length of the fish, to see
how much they've grown," he said.
"We've also taken product quality samples or flesh samples so we're looking at h
ow long or how red it stays for in shelf life.
ACCC recommendations threaten phone rental parity
The cost of phone line rentals in regional Australia could rise dramatically if
the Federal Government accepts new recommendations from the Australian Competiti
on and Consumer Commission (ACCC).
Telecommunications consultant Gavin Priestley says the ACCC has recommended a wh
olesale line rental of $7.00 a month for CBD customers, but $34 for major region
al centres.
He says that means rental costs for lines in smaller communities could rise much
higher.
"What it signals is the average of the access prices for telephones right across
Australia is going to change and our worst fears potentially are going to be re
alised," he said.
"That is country people will not get parity and will pay more for access to thei
r phone line.
"When the sale of Telstra was touted we were guaranteed that we would get parity
of price and future proofing of the service. This is certainly not parity."
The National Farmers Federation (NFF) says it is concerned and seeking more deta
il from the Communications Minister.
But chief executive Ben Fargher says he is confident rural line rentals will rem
ain capped, under what is says is an "iron clad" deal between the NFF and the Go
vernment.
ACCC recommendations threaten phone rental parity
The cost of phone line rentals in regional Australia could rise dramatically if
the Federal Government accepts new recommendations from the Australian Competiti
on and Consumer Commission (ACCC).
Telecommunications consultant Gavin Priestley says the ACCC has recommended a wh
olesale line rental of $7.00 a month for CBD customers, but $34 for major region
al centres.
He says that means rental costs for lines in smaller communities could rise much
higher.
"What it signals is the average of the access prices for telephones right across
Australia is going to change and our worst fears potentially are going to be re
alised," he said.
"That is country people will not get parity and will pay more for access to thei
r phone line.
"When the sale of Telstra was touted we were guaranteed that we would get parity
of price and future proofing of the service. This is certainly not parity."
The National Farmers Federation (NFF) says it is concerned and seeking more deta
il from the Communications Minister.
But chief executive Ben Fargher says he is confident rural line rentals will rem
ain capped, under what is says is an "iron clad" deal between the NFF and the Go
vernment.
The new national agreement to handle exotic pest and disease outbreaks is being
questioned, after a decision to withdraw financial support for Queensland's atte
mpts to control sugar cane smut.
The fungal disease, sugar cane smut, was first discovered in south-east Queensla
nd just over two months ago and since then more than 50 properties have been put
under quarantine, disrupting harvest and putting strict protocols on local grow
ers.
As a signatory to the new Emergency Plant Pest Response Deed under Plant Health
Australia, canegrowers were anticipating federal and state governments would pay
80 per cent of the $43 million emergency response plan.

But the National Management Group (NMG) voted against the proposal, suggesting t
he disease could not be eradicated or contained.
Isis Canegrowers chairman Joe Russo says the decision has shocked the cane growi
ng community.
"It's no different from when you're told you first had smut, you're somewhat qui
te gutted to hear the response to what NMG have come down with," he said.
Polybag price increase hurts producers
The price of the woven polybags used to package seed, wool and fertiliser is set
to rise due to soaring crude oil prices.
The bags are made from a petroleum-based resin, which has increased in price and
is becoming harder to source from Asia.
Bob Adams, from Colquhouns Fremantle Bag company says producers can no longer ab
sorb the cost, and are now looking at other options.
"We've seen costs rise by as much as 30 to 35 per cent over the last eight to ni
ne months to the point it's slowly being passed onto the packers and the users o
f the bags," he said.
Financial lifeline saves Broken Hill YMCA
The Broken Hill YMCA will open within three months after being thrown a last min
ute lifeline.
The building was going on the market because it was $50,000 short of funds but i
t has been given that amount by its governing body.
A team of YMCA Australia staff will be in the city next week to meet with the bo
ard and develop a business plan and a long term management strategy.
New staff will be recruited and president Dionne Devlin says it still needs the
ongoing support of the local community.
"We start straight away looking at the capital works that need to be done down t
here and organising the people that want to help and getting straight in and get
ting things done," she said.
Rio Tinto plans Perth tyre retreading facility
More evidence of the impact of the resources boom has surfaced today as miners s
ee a worldwide shortage driving the price of mining tyres up to $100,000 each.
The huge cost has prompted Rio Tinto to invest in its own tyre retreading facili
ty in Perth, which will open later this year.
Kevin McLeish, from the Rio-owned Argyle Diamonds, says the lengths they have ha
d to go to shows the magnitude of the problem.
"So here you have have a mining company getting into the tyre business, to be ab
le to keep itself open," he said.
Future growth in agriculture depends on exports: ABARE
The Australian Bureau of Agriculture and Resource Economics (ABARE) says most of
the future growth in Australian agriculture will depend on exports.
The peak commodity forecaster has released a report showing agriculture's contri
bution to gross domestic product (GDP) has fallen from around 3.6 per cent in th
e early 1980s to 2.7 per cent in the years leading up to 2005.
That is mainly due to the growth in the services, mining and manufacturing secto
rs.
ABARE spokeswoman Lisa Elliston says while agriculture continues to expand, it n
eeds to focus on international markets because the domestic market is so small.
"In particular that means that we have to focus on things like barriers to trade
, so that we have tariffs and import quotas that continue to be an important iss
ue," she said.
Authorities mull beef exports with Korea
Two of Australia's biggest beef exporters are meeting with Korean importers on t
he Gold Coast this week, to discuss ways Australia can sell more beef to the cou
ntry.
Korea is Australia's third-largest beef market, taking more than 100,000 tonnes

last year, but US exports are set to resume after a two-year ban related to mad
cow disease.
Meat and Livestock Australia regional manager for Korea, Glen Feist, says Korean
supermarkets want more Australian beef and positive news is expected as early a
s tomorrow.
"For the first time we've actually got two of Australia's major exporters, two o
f Korea's major importers and Tesco, which is the number two retailer up there w
ith 44 hypermarkets, getting into a room for three days together," he said.
Tas apple producers seek new Japanese export protocol
Tasmanian apple growers are pinning their hopes on a new export protocol to save
their export market to Japan.
The industry has spent eight years pioneering the trade, but despite years of re
search, the fumigation of fruit for codling moth has continued to cause signific
ant internal fruit damage.
Fruit exporter Ken Bell says the industry is not likely to resume the trade unti
l a new protocol can be agreed to.
"Generally, the industry feel a little bit despondent with the Japanese market b
ecause we've worked for years and years and it's cost a lot of money as you say,
a lot of heartache,"he said.
Call for community projects for work-for-the-dole participants
Community projects are being sought for work-for-the-dole programs in Broken Hil
l, Menindee and Wilcannia.
Sureway Employment chief executive officer, Judy Galloway, says two projects are
already under way in Broken Hill but more are needed.
She says the projects are for not for profit organisations and provide an opport
unity for people to gain skills that could lead to part time or full time employ
ment.
Mrs Galloway says participants can not take the place of paid employees.
"So it has to be additional work which is something of a community benefit," she
said.
NSW irrigators consider class action over lost groundwater entitlements
Irrigators in New South Wales are considering legal action despite the Federal G
overnment signing off on a $110 million package to compensate them for a loss of
groundwater entitlements.
The package relates to major cuts in bore water allocations in six river valleys
, but the irrigators say the financial assistance is far too little, too late.
Dennis Moxey from the Lachlan Groundwater Working Group says he understands thei
r concerns, but doubts a class action would succeed.
"It's making some people fairly irate about the whole process now and I'm not su
re we are going to be able to hold the irrigators to a negotiation process. They
're going to start taking their own actions," he said.
Senate told Govt to blame for 'environmental disaster' in Culgoa
A Senate inquiry into water has been told that successive Queensland governments
have ignored the advice of expert scientists, to create what is possibly the 'w
orst environmental disaster in inland Australia' on the Culgoa Balonne floodplai
n in northern New South Wales.
NSW farmer Ed Fessey told the Senate's Rural and Regional Affairs Committee that
over extraction of water in Queensland is destroying both the environment and t
he livelihoods of those on the Culgoa floodplain.
"This is highlighted by the flippant, nonchalant and at times dismissive attitud
e that successive Queensland Natural Resources to due process; the complete igno
rance of a very strong and detailed submission by the New South Wales Government
in 2004; the very select use of Peter Cullen's scientific report to endorse the
ir plan, whilst ignoring the clear warnings that significant ecological problems
will occur," he said.

Grim outlook for SA grain harvest

A warm and windy day in South Australia yesterday has not helped what was lookin
g set to be a decent season for grain growers.
The grain harvest will now be well below average this year, unless there is sign
ificant rain in the next two weeks.
Peter Fulwood from Rural Solutions South Australia says the state is headed for
its driest winter on record.
"If we don't get substantial rain in the next couple of weeks, we could be looki
ng at one of, if not the driest, winters on record and then we go into our sprin
g weather where temperatures can rapidly rise in those months and we can get dry
ing winds, crops can come under extreme moisture stress," he said.
"Overall, the state crop certainly won't be anything above average unless we wer
e to get a complete change in the weather. The estimates we would be looking at
would be below average."
Unusual weather patterns in Australia and overseas are putting new pressure on g
lobal grain prices.
Dry weather in Western Australia means grain handler CBH will not be exporting l
upins this year, to ensure stock feed supplies into 2007.
Farmers urged to assess greenhouse gas emissions
Farmers are being warned to start assessing their carbon emissions, even though
a new state-based carbon trading scheme does not include agriculture yet.
States including Victoria and New South Wales have launched a plan to establish
emission targets and a trading scheme for electricity generators.
Tracie Griffin from the Victorian Government's Greenhouse in Agriculture Program
says farmers are the second highest greenhouse gas polluters.
Claim Mustard seed could supply biodiesel industry
The mustard seed could be the next oilseed to supply the growing biodiesel indus
try.
In South Australiam trials of the crop will be expanded, because it fares better
in low rainfall regions that cannot support other oilseed crops like canola.
Trent Potter from the South Australian Research and Development Institute is hop
eful more farmers will soon be able to produce oilseed crops for the biodiesel i
ndustry.
Women's contribution to rural business in spotlight
It is Regional Women in Business Week, and its founder says it is an important c
hance for country women to promote themselves.
Queensland author Jo Eady says businesswomen in rural and regional areas have a
significant impact on local employment and incomes, and says it is no wonder the
week has taken off around the country.
"There's retail, there's industrial, there's manufacturing, there's agriculture,
and then there's the miriad of service industries which takes in you know your
marketing and your promotion and your computer type activities or your technolog
y type activities and we're there," she said.
Submissions sought on chemical spray drift
The Australian Pesticides and Veterinary Medicines Authority is calling for subm
issions on its plan to reduce chemical spray drift on farms.
Producers, insurance companies and other farm industry representatives had their
say on the proposals at a forum in Canberra yesterday.
The authority's David Loschke says the plan includes national regulations for la
belling and handling pesticides.
"There's a range of approaches on existing labels, quite a bit of variability an
d that's something we want to change," he said.
"We want to bring them all into a much more uniform sort of approach and an appr
oach that the states with their powers of enforcement can use effectively to con
trol their uses."
Submissions are due on October 6.

Scientists map DNA sequence for bovine animals

Scientists have finished a five-year project to build a genetic map of bovine an
imals, which is expected to lead to better cattle production, breeding and disea
se control.
The $70 million project to map the DNA sequence is a joint effort between Austra
lia, New Zealand, Canada and the United States.
Dr Chris Prideaux from the CSIRO says it is now time to apply the science.
"Really this map will speed up the roll-out of things like genetic markers, such
traits as meat tenderness [and] for marbling," he said.
Winemakers pay tribute to Len Evans
One of the great names of the Australian wine industry has died at the age of 75
.
Wine judge and writer Len Evans is credited with bringing Australian wines to pr
ominence on the world stage, by encouraging a move away from fortified varieties
into other blends.
In 1968, Mr Evans founded the Rothbury Estate in the Hunter Valley with Murray T
yrrell.
Mr Tyrrell's son, Bruce, says his father's friend was instrumental in building A
ustralia's wine export industry.
"He was certainly a very important cog in what wheel, there's no question or dou
bt about that," he said.
"Len was a larger than life personality, and he was one of those people that no
door was ever locked to, because if it was, he just opened it and walked through
it.
Fed Govt to contribute to wetlands restoration in NSW
The Federal Government will help to fund works to restore two major wetlands in
New South Wales.
Rural women's isolation a key topic in youth survey
The isolation of women has emerged as a big issue in a national survey of youth
in rural Australia this week.
Workshops are being held in five states as part of the Year of the Outback, to i
dentify key issues and find some answers.
Coordinator Fiona Campbell-Maybury, says women want some kind of network to help
them get access to resources.
"They are not necessarily suggesting that the resources are not there, what they
're suggesting is that they're not necessarily aware of them," she said.
Wave Hill walk-off celebrations under way
It has been 40 years since the Wave Hill walk-off, a protest which led to the In
digenous rights movement in Australia.
Celebrations have begun in the remote Northern Territory of Kalkaringi, 800km so
uth-west of Darwin.
An overwhelming mood of friendship and reconciliation binds more than 1,500 peop
le gathered by the Victoria River, the site where stockman Vincent Lingiari led
his people on strike in 1966.
Originally protesting against the pay conditions on nearby Wave Hill Station, th
e nine-year strike soon became a battle for land rights.
Among the crowd today were descendants of the original Gurindgi strikers, pastor
alists, politicians and visitors from across the country.
As part of the festival an agreement is being signed between the Northern Territ
ory Cattlemen's Association, the Northern Territory Government, the Land Council
s and the Indigenous Land Corporation to boost Aboriginal participation in the p
astoral industry.
NZ stone fruit growers get WA access
New Zealand stone fruit growers will be allowed to sell their fruit into markets

in Western Australia, six years after applying for access.

Biosecurity Australia has made the decision in a risk import analysis, as long a
s fruit is fumigated and inspected to keep pests out of WA.
Peter Gubler from the WA Summerfruit Council says he is concerned, but does not
expect imports to have a major impact, in a market where prices are already lowe
r than in the eastern states.
"Money wise, the commodities like peaches and nectarines, I don't think they'll
benefit from that because of the low return that growers here in the state get a
nyway," he said.
Apple, pear industry unveils competitiveness plan
The apple and pear industry has launched an ambitious research program to make A
ustralian orchards globally competitive.
The million-dollar program, Future Orchards 2012, was unveiled in Hobart this mo
rning.
Years of rising production costs and low prices have left Australian apple and p
ear growers fighting for survival.
The industry has to reduce costs while increasing the amount of fruit harvested
per hectare, and Future Orchards 2012 should prove it can be done.
The current yield is 20 tonnes of fruit per hectare from an average of 640 trees
.
Under the plan tonnage would more than doubled and high density planting would a
lmost triple the amount of trees.
The intensive orcharding would also be capital intensive, costing up to $60,000
a hectare.
Labor's ethanol pledge gets mixed response
There has been a mixed response in Queensland to Labor's election promise to mak
e all petrol include 5 per cent ethanol.
Premier Peter Beattie says the mandate would increase to 10 per cent after 2010.
The Premier says the 5 per cent mandate will increase the use of ethanol 20-fold
, to over 200 million litres, in a year.
The Opposition says it was their policy five years ago.
Grain growers on the Darling Downs say it is good news, as they have plans to bu
ild an ethanol plant at Dalby which will consume 400,000 tonnes of sorghum and p
roduce 160 million litres.
The petrol companies Caltex and BP are less supportive of a mandate and the RACQ
says there is no evidence that ethanol blends are being sold at prices below no
rmal petrol.
Red wine fails to meet Chinese standards
China has rejected more than 10,000 bottles of Australian red wine because it co
ntains too much of the preservative sulphur dioxide.
The 840 cartons were rejected by Chinese customs authorities at the port of Shen
zhen.
It is understood the wine was bottled in 2003 by a winemaker from New South Wale
s, whose name is being kept under wraps.
Australian Wine and Brandy Corporation chief executive Sam Tolley says the wine
has been knocked back because it does not meet Chinese standards.
"So when the sulphur was added to the wine, the blend wasn't mixed thoroughly, s
o there's some parts of the wine that have this high sulphur content and the res
t would have lower," he said.
Lamb industry thrives despite drought
Although the prime lamb industry is in its fifth year of severe drought, the num
ber of new season lambs coming into the market is expected to rise another 3 per
cent in the next 12 months.
Meat and Livestock Australia says that is due to a 16 per cent jump in second-cr
oss lambs, which are produced for meat.
And there has been a dramatic fall in the price of cattle contracts on the Sydne

y Futures Exchange.
Farmers predict crop failure within weeks
Farmers in Victoria's Wimmera Mallee grain growing region say if it does not rai
n within two weeks their crops will fail.
The effects of a lack of rain have been made worse by a run of frosts and strong
drying winds.
Neil Simpson who has planted 1,500 hectares of wheat at Berriwillock in the sout
hern Mallee says the earlier sown crop is already dying and it is looking bleak
for the rest.
"Assuming that there isn't further rain, the late crops will also fail and they
may not even produce a head in the circumstances so the outlook is certainly ver
y dismal at this point and continuing to deteriorate," he said.
Nickel shortage causes panic
The London Metal Exchange was forced to intervene in the nickel market last nigh
t for the first time since the 1980s, to curb panic buying among metal traders.
Analysts predict there is only enough nickel left on the exchange to cover one d
ay of world consumption.
Supplies have shrunk because of a strike at the world's largest nickel mine at V
oisey's Bay in Canada.
In Australia, shares in nickel mining companies have skyrocketed, as speculators
predict the situation will not ease in the short term.
Commonwealth Bank commodity strategist Tobin Gorey predicts the market tightness
will continue to force up prices.
"In terms of supply being tight yes it will [force prices up]. Whether it is act
ually so tight that people can't complete transactions is another matter, that's
really what defines the current circumstance," he said.
Plan aims to tackle climate change impact on agriculture
The federal, state and territory governments have unveiled a national action pla
n to tackle the affects of climate change on agriculture.
It is designed to help farmers adapt to a changing climate, mitigate and prevent
the impact of change, provide better research and development and increase awar
eness.
While there is no funding or specific projects yet, Ben Fargher from the Nationa
l Farmers Federation says it is a significant step.
Australia on track for driest August on record
The National Climate Centre says we could be shaping up for another major drough
t year if it does not rain soon.
Australia is on track for its driest August on record, with an average of just 2
.6 millimetres of rain so far this month, compared to the lowest recorded total
of 7.1 millimetres.
Meteorologist Blair Trewin says while south-west WA is in trouble, the eastern s
tates are in a slightly better position because of rain last month.
"[It] certainly hasn't been as dry as years like 1994 and 2002 generally speakin
g," he aid.
"If we were to have a very dry September/October period then we might start gett
ing down into the kind of territory we saw in 1994 and 2002, but our outlook is
not currently indicating a particularly high chance of that happening."
Growers fear Coles Myer takeover
Fruit and vegetable growers are concerned a foreign takeover of Coles Myer could
squeeze them out of the market.
A US-based consortium has launched a bid to buy the retail giant.
Michael Badcock, from AUSVEG, fears a sale would leave producers at the whim of
major international corporations.
"The biggest problem we've got in Australia is that we have two major supermarke
t chains and that's it, who control about 70 per cent of Australia's market," he

said.
"If one of these is taken over by a big world player - and they're quite ruthles
s in the way they cut costs and cut staff and everything else - if one does it t
he other one would do it.
"That would be a disaster for producers in Australia."
The Federal Government can reject takeovers that are deemed not to be in the nat
ional interest.
But Griffith University's Tony Makin says even with lobbying, farmers are unlike
ly to stop a takeover bid.
GE rice contaminates US crop
The US agriculture secretary says US supplies of long-grain rice are contaminate
d with a genetically-engineered variety which has not been approved for human us
e.
Mike Johanns has announced that Bayer CropScience of Germany has told the US Dep
artment of Agriculture (USDA) and the US Food and Drug Administration that the e
xperimental rice poses no threat to humans or the environment.
But Mr Johanns does not know where the contaminated rice was found, how widespre
ad it is, or how it entered the food supply.
As for US customers, Mr Johanns says he is "are providing information to my coll
eagues".
"I'm talking to them. I have indicated to them that we will provide whatever inf
ormation they need," he said.
Testing kits will be supplied if required and USDA will investigate.
Court to rule on wallaby cull
Plans to cull wallabies on the two biggest islands in Bass Strait are being chal
lenged in the Federal Administrative Appeals Tribunal.
The Wildlife Protection Association of Australia wants to stop approved federal
management plans, which allow farmers to shoot and export wallabies on King and
Flinders islands.
President Pat O'Brien alleges the plan allows inhumane killing of joeys, breache
s the national rifle code and misjudges the size of the wallaby population.
He hopes the case will reveal critical information.
"In the last appeal we had in New South Wales we found out that both Western Aus
tralia, South Australia and Queensland had overshot their quotas by about 15,000
animals," he said.
"But they wouldn't tell us unless we sort of had them in court and had them on o
ath.
Land Rights Act changes please fishermen
Land rights claims over some inter-tidal areas on the Northern Territory coastli
ne will be automatically terminated by changes to the federal Land Rights Act.
The move affects claims won more than three years ago through the High Court and
has been labelled "un-Australian" by the Northern Land Council.
But Iain Smith, from the Territory's Seafood Council, has welcomed the changes.
He says some claims had big ramifications.
"If at some future stage a court decided that while water was over Aboriginal la
nd the water and the animals in it belonged to the relevant land trust - it was
freehold title - then of course we would be totally excluded from the area unles
s we paid a fee," he said.
Turnbull urges private water infrastructure investment
There is a call today for more private investment to help solve the nation's wat
er shortages and fix ailing infrastructure.
The federal Parliamentary Secretary for Water, Malcolm Turnbull, has released a
discussion paper which includes a national set of guidelines for working with th
e private sector.
He admits there have been problems with partnerships between the public and priv
ate arenas, but says there are major opportunities.

"I don't think many people would support, for example, privatising catchment man
agement authorities or privatising dams or the sources of water," he said.
Rival bids leave Sedimentary's future uncertain
The future of a gold miner with exploration interests at Foster and Walhalla in
Victoria remains uncertain, with shareholders offered both a merger and a takeov
er bid.
Sedimentary complained to the National Takeovers Panel last week that there were
unacceptable circumstances around a takeover bid by Auselect.
Now Sedimentary has announced a merger agreement with Premier Gold Mines.
The takeovers panel has decided it will not pursue Sedimentary's complaint about
the takeover bid.
Ethanol plant construction under way
Work on Australia's first purpose-built ethanol plant is starting in north-west
Victoria today.
Australian Ethanol plans to produce 100 million litres of ethanol annually at th
e Swan Hill plant, which is due to be completed late next year.
Chief executive Peter Anderton says local farmers will supply it with 350,000 to
nnes of grain and corn.
"Corn would provide about a third of the grain required and then the remainder w
e would source off winter crops, wheat and barley," he said.
116-turbine wind farm approved
The Victorian Government has approved the construction of one of Australia's big
gest wind farms.
The 116-turbine wind farm will be built at Mount Gellibrand in the state's south
-west.
Despite political wrangling over the future of wind farms in Victoria, Colac Otw
ay Shire Mayor Warren Riches says this project is likely to go ahead.
"I would think this is one project which will almost certainly go ahead no matte
r which party is in power after November," he said.
"It is in an open windswept area.
"It's not something, for instance, that's on the cliffs of views overlooking the
Great Ocean Road or the ocean or anything like that.
Rabbit infestation hits SA crops
The worst infestation of rabbits in 10 years has caused tens of thousands of dol
lars of damage to crops and pastures on the lower Eyre Peninsula in South Austra
lia.
Early rains and green grass are being blamed for the high breeding numbers, and
neither calicivirus nor myxomatosis are having an impact.
Andrew Ware, from Lipson, says his farm has been hit hard.
"Just driving into our property at night-time, usually you wouldn't see any rabb
its but at the moment we're seeing five or six just at the entrance to our prope
rty," he said.
"I reckon we would have lost perhaps 25 acres of crop.
Leaf rust let loose on feral blackberries
The CSIRO is stepping up efforts to stop the spread of feral blackberries using
strains of the fungus, leaf rust.
The scientific body wants farmers to test the fungus on blackberry infestations
over the next three years.
Small-scale testing was done in 2004, and the Federal Government has now boosted
funding to roll out the project across the country.
Gates to fund agricultural research
Agricultural research and development in developing countries is set for a big b
oost from the world's richest man.
The Bill and Melinda Gates Foundation is extending a program which currently sup

ports research and development in the health sector.

Agricultural economist Professor Phil Pardey, from the University of Minnesota,
says the funding should make a big difference.
"They've been looking to broaden out in other areas and so they've made an in-pr
inciple decision to start ramping up investments into agricultural research," he
said.
"The orders of magnitude of sums of money that I've heard are quite mind-bogglin
g - in the hundreds of millions of dollars a year.
Beef production pioneer Wright dies
One of the pioneers of modern beef production in Australia has died.
David Wright, 73, headed up a cattle dynasty based on Wallamumbi Station near Ar
midale in New South Wales.
He was also responsible for developing the V2V breed of cattle, after crossing A
ustralia's oldest hereford herd with new genetic stock.
Mr Wright's cattle empire fell apart after a long-running legal battle in the 19
90s.
The founder of the Co-operative Research Centre for Beef, Bernie Bindon, says Mr
Wright was a pioneer of the scientific research which now underpins the industr
y.
"David Wright left his imprint on many aspects of the Australian beef industry,"
he said.
Horses among Wyndham races highlights
Horses kicked up dust and punters bet their luck over the weekend, at the 120th
year of the Wyndham races in the Kimberley in far north Western Australia.
More than 1,000 people from right across Australia flocked to the port town's mu
d flats.
Gail Muir from Kununurra says some family connections with the historic meet mad
e it a special day.
"My father-in-law flew from Darwin to Wyndham for the races 60 years ago in a Ti
ger Moth aircraft, an absolutely fantastic event with just a little bit of hessi
an all around the place," she said.
"Today I'm here to relive the memories for him.
Pilbara reflects on 40 years of exports
It is 40 years ago today since the first shipment of iron ore from Western Austr
alia's Pilbara region.
In 1966, the 52,00 tonne shipment left the port of Dampier, on WA's north-west c
oast, bound for Japan.
David Smith, from Pilbara Iron, says Japan remains a major customer but there ha
ve been big changes in the past four decades.
"It started off with about a hundred or so people in its first operation," he sa
id.
"There's about 5,000 employees that work in Pilbara Iron now, plus of course a l
ot of contractors who are important service providers that work and help support
the company as well.
Harvey Beef moves to lot-fed cattle
Western Australia's biggest beef processor is moving away from its traditional g
rass-fed cattle supplies.
EG Green and Sons was forced into administration last year.
The new owner is now trying to make the abattoir more efficient by focussing on
lot-fed cattle.
Harvey Beef's chief executive Scott Henderson says it will be some time before t
he abattoir is running at full capacity.
He says it is unlikely that stock prices will match the eastern states in the sh
ort-term.
"The most important thing for us is to cut costs wherever we can and that's what
we are doing to make sure that we have profitable business here," Mr Henderson

said.
Dingo preservation plan angers pastoralists
South Australian authorities want to protect the pure-bred dingo in the state's
far north, but pastoralists are not happy with the move.
The Department of Water, Land and Biodiversity Conservation says some dingo popu
lations in the Simpson Desert should be protected to stop inter-breeding with wi
ld dogs.
But Rodney Fullerton, from Mungeranie Station on the Birdsville Track, says it i
s unrealistic and impossible to get a balance between conservation and control.
"What happens out there in the desert, in the good seasons there's a lot of dogs
out there and they breed up out there," he said.
"Once it gets dry out there in the desert, they come in on these pastoral proper
ties.
"They come in and they play havoc with our calves and they kill them pretty quic
k because they're hungry.
Pet's death renews hunting debate
The debate over allowing licensed hunters to cull feral pests in state parks has
flared again in New South Wales, after a domestic pet belonging to a camper was
shot.
Hunters have been given access to 152 state forests this year to help reduce pes
t problems.
The owner of the dead kelpie, Ross Clissold, has camped in the Double Duke State
Forest on the north coast for four years.
He says he had no idea hunters were being used, and he is now reluctant to take
his family to the area.
WA drought package targets farmers
West Australian farmers are hoping for rain this week and also have some financi
al relief in sight, with the State Government unveiling a $5 million drought pac
kage.
Farmers in the worst-hit northern agricultural areas can apply for grants of up
to $7,500.
The state Opposition wants the help provided to the wider community.
Bacchus Marsh irrigators offered extra water
Irrigators in Victoria's major lettuce growing region are being offered a 5 per
cent water allocation to keep going, as long as they are prepared to pay for it.
Growers at Bacchus Marsh, north-west of Melbourne, had faced the prospect of no
spring water supplies.
That prompted Australia's biggest producer of coloured lettuces to move his oper
ation to the state's north.
But Clinton Rodda, from South Rural Water, says the expense of transferring the
water to irrigators will cost them extra.
"There were some capital costs and some of those we will recover through the pri
cing of the water," he said.
"The water's available to our irrigators are Bacchus Marsh at an additional $410
a megalitre.
Farmers prevent vegetation clearing inspection
About 200 farmers have blockaded a property near the New South Wales town of Cob
ar, in a sign of growing anger at the state's native vegetation regulations.
The farmers stopped government officials inspecting the property yesterday, wher
e legal clearing of invasive native scrub is under way.
The Wilderness Society is believed to have complained about the scrub removal.
Community spokesman Stuart Mosley says the farmer who owned the property did not
have anything to hide, but local producers have had enough.
"We've got a family who is highly respected, who is held up by the Catchment Man
agement Authority as being model land managers," he said.

"We have got the radical greens on the other side who are evangelically opposed
to land clearing.
"We don't believe that is appropriate for our part of the state.
"Yesterday we stood in the middle of 12.5 million hectares of invasive native sc
rub land that ABARE [Australian Bureau of Agricultural and Resource Economics] h
as identified as being at risk because of inappropriate native vegetation regula
tion.
Wheat virus found in commercial WA crop
Wheat streak mosaic virus has been found in a commercial crop in Western Austral
ia for the first time.
Wheat seed was banned from entering WA last year to prevent the virus spreading
into the state, but it was found in April this year.
Roger Jones, from the Department of Agriculture, believes the virus probably fou
nd its way west before the ban was imposed.
He says it has now been found on a farm at Merredin in the Wheatbelt.
"The danger from the disease is when you get early-sown crops, sown at a time of
year when it's still warm," he said.
"The mites can actually build up to very large numbers.
Dairy industry fights fat perceptions
The dairy industry says growing concern over Australia's high obesity rates is
urning the public off its products.
Dairy Australia is fighting back with a $4 million campaign to dispel the myth
hat dairy foods are fatty.
Spokesman Richard Lange says the industry needs to claw back its market share,
o stop people turning to dairy substitutes.
"Milk is only 4 per cent fat, some consumers think that it's up to 17 per cent
nd that's a real myth that we need to bust in this campaign," he said.

t
t
t
a

Oil price tipped to boost wool market

The biggest buyer of Australian wool says high oil prices should help to drive u
p the wool market by another 10 per cent before Christmas.
Growers saw an early jump in prices in the first few months of this year but the
market has remained fairly stagnant ever since.
Soaring oil prices have forced up the cost of synthetics, leading to more demand
for wool.
Chris Kelly, from Chinese wool buyer Itochu, says the impact of the drought and
demand from Chinese millers should also lift the market.
"The pipeline is very short, particularly in China and other wool consuming coun
tries as well," he said.
India takes live exports market share
Rising fuel prices and the falling value of Asian currencies are beginning to ha
ve an effect on the northern live cattle export industry.
Figures from LiveCorp show the Indonesian market remains buoyant.
Once-strong sales to the Philippines have fallen 52 per cent in the past 12 mont
hs.
Angus Adnam, from the Queensland Live Export Association, says competing live ex
ports from India are now a real force in Asian markets.
"The Philippine market was a great market a couple of years ago of course, but w
e have seen a big decline in the value of the Philippine peso," he said.
"Once again Indian beef continues to make huge inroads into that market, probabl
y 180,000, 210,000 tonnes going into that market.
AWB finds more kickbacks documents
Thousands of documents previously withheld by AWB's inhouse lawyers have been di
scovered by the oil-for-food Inquiry.
The hearing into AWB's $290 million in kickbacks to the former Iraqi Government
has reopened in Sydney.

Senior counsel assisting Commissioner Terence Cole, John Agius QC, opened procee
dings by telling the inquiry that AWB had found yet more documents.
Mr Agius said 129 volumes had been located by AWB's internal lawyers, Rosemary P
eevey and Jessica Lyons.
A further 69 volumes have been found in connection with Jill Gillingham, who has
just taken the witness stand.
Ms Gillingham said she reported directly to Andrew Lindberg.
She negotiated contracts worth $750 million a year for storage, handling and mov
ement of grain.
Ms Gillingham also told the inquiry she was the link between US public relations
guru Peter Sandman and Mr Lindberg's so-called apology document.
Water use food labels mooted
Food from the Murray Darling Basin could one day bear labels which show it has b
een grown with the most efficient water use.
The plan is one of a number of ideas to be discussed at the Murray Darling Assoc
iation's annual meeting next week.
General manager Ray Najar says it could help raise consumer awareness and better
educate consumers.
"I think there's a misunderstanding of how much value there is in using water fo
r irrigation in the Murray Darling Basin," Mr Najar said.
"There's obviously a certain select group of people that believe that irrigation
shouldn't be occurring in the basin.
Water use produce labels mooted
Products grown in the Murray Darling Basin under best-practice water use could b
e labelled as such, similar to the Heart Foundation's tick or the 'Australian Gr
own' labels.
It is just one of a number of ideas to be put on the table at the the Murray Dar
ling Association's annual meeting at Barham next month.
General manager Ray Najar says it could help raise consumer awareness of what is
produced in the basin.
Farm dam management under scrutiny
Better regulation of farm dams in the upper areas of the Murray Darling Basin ca
tchment area was brought to the attention of those attending the 11th national w
ater conference in Sydney yesterday.
The Minister for the River Murray, Karlene Maywald, says while there is progress
being made in providing the 500 gigalitres in environmental flows to the Living
Murray project by 2009, she says the states now need to take the next step in t
he process.
She says all states need to work together to come up with co-ordinated approach
to manage environmental and unregulated water flows and farm dams.
Ms Maywald also says the State Government has bought 11 gigalitres of water from
irrigators willing to sell in recent time.
She is unable to disclose how much this has cost the Government.
Water data management plan needed: Matthews
There is a need to improve the way water data is managed across the country.
National Water Commission chairman Ken Matthews says information about where wat
er is, how it is used and its quality needs to be readily available.
Representatives from all states and territories, science fields and peak bodies
industry bodies met on Friday in Adelaide at the first water data summit to come
to a national agreement.
Horsemanship course improves youths' job prospects
A group of young men from a remote Aboriginal community in north Queensland
have improved their job prospects and way of life by learning how to handle hors
es.
Twenty horses were seized from Palm Island three years ago in what the RSPCA sai

d was one of the worst cases of animal cruelty it had seen.

State Government intervention has provided more infrastructure and equipment to
deal with the hundreds of wild and domesticated horses on the island.
Ten young men, including Thomas Chookie, have been taking part in a horsemanship
course near Ingham.
"I learnt so much ... I I built a greater self-confidence too and self-esteem, l
ike how to be one with something that you can't really tame," he said.
Rural residents oppose daylight saving extension
Calls to extend daylight saving by more than a month in south-eastern Australia
have not gone down well with in some parts of the country.
Victorian Premier Steve Bracks wants to bring his state into line with New South
Wales, Tasmania and South Australia.
But Sharnie Mahar, who lives at Penong in far western South Australia, says dayl
ight saving causes enough havoc with family life already.
"I don't agree with it at all actually," she said.
"Daylight saving is plenty long enough as it is.
"Because I live in such an isolated area, I find the days reasonably long as the
y are.
WA truffles may fill French gap
Truffles from Western Australia could soon be filling seasonal shortages of the
delicacy in France.
A group of French chefs and a prominent truffle trader are in WA, looking at the
local industry.
Chef Alain Fabregues believes Australian truffles should be sent to France durin
g the northern summer, when European truffles are not available.
"This is a great move - you give us a great opportunity," he said.
"It's complementary, it does not compete against each other.
Grain delivery rules anger WA farmers
Some West Australian farmers are angry at new rules imposed by grain handler CBH
for delivering grain this season.
Under the changes, farmers who overload grain trucks will have to forfeit the ex
tra grain, with the proceeds going to local shires for road maintenance.
Farmers like Peter Boyle from York are upset because the scheme could involve ex
tra costs.
"What they're aiming to achieve is certainly a lot better than what Main Roads i
s trying to do and it's better than what's in the eastern states," he said.
"I commend them for that.
"But some of the other hidden charges that they're bringing forth, that really i
s a bit of a stab in the back."
Oil exploration causes diver shortage
Increasing exploration for offshore oil reserves is causing a shortage of divers
in the aquaculture industry.
Divers are being offered more than $300,000 a year for exploration work, compare
d $70,000 for work in the tuna and abalone sectors.
Martin Phillips, from South Australian Underwater Training, says oil exploration
has not been a traditional job market for divers.
"Offshore jobs have been extremely difficult to get, you really had to know some
one in that industry to get a job offshore," he said.
Domestic violence support 'hard to access' for migrants
A Victorian report has found migrant women in country areas are having trouble g
etting help to deal with domestic violence.
Across Australia one in every three to four families are affected by domestic vi
olence.
The report says country women in particularly find it difficult to access suppor
t services.

Diana Orlando, from the Immigrant Women's Domestic Violence Service, says it is
even harder for women from non-English speaking backgrounds.
"It's language barrier but it's also trust," she said.
"What the community said in the report was is it a service that's going to under
stand me, understand my culture, am I just going to be pressured to leave and br
eak the family?
"I can't leave because I'm on a farm or I can't leave because I'm being threaten
ed with deportation.
Drivers knowingly take risks: survey
A survey of country drivers has found high rates of complacency when it comes to
drink driving, fatigue and speeding.
Insurance group AAMI has interviewed 2,500 motorists about their attitudes to ro
ad safety.
It found 40 per cent of people surveyed have probably driven while over the lega
l alcohol limit.
A third have momentarily fallen asleep at the wheel, while most have exceeded th
e speed limit.
Professor Craig Veitch, from James Cook University, is involved in a five-year i
nvestigation into regional road safety.
He says the figures show education campaigns are not working.
"A lot of people we've spoken with have remembered road safety messages that hav
en't been used in 10 years - that's the 'bloody idiot' campaign, that's been use
d," he said.
AWB attempts to retract Cole inquiry evidence
Tempers have flared at the oil for food inquiry, after wheat exporter AWB tried
to keep secret a document that was entered into evidence six months ago.
Exhibit 412, which named Foreign Affairs Minister Alexander Downer, was the subj
ect of a bitter exchange between Commissioner Terence Cole and AWB's lawyers thi
s morning.
The exhibit related to Iraq's claim for compensation over wheat shipments it sai
d were contaminated with iron filings.
In the February 2003 memo, AWB executive Peter Geary described the matter as sen
sitive and political and that AWB would need to inform Mr Downer.
AWB's lawyers leapt to their feet, demanding the document be removed.
They said it was confidential and part of AWB's Federal Court challenge.
After a heated altercation, Commissioner Cole took an immediate adjournment.
Useful rains fall on WA farms
Farmers in Western Australia have received the most useful falls of the winter s
eason over the past 24 hours.
South-west and southern coastal areas have received the heaviest falls of betwee
n 50 and 70 millimetres.
Warm days cause grape vines to bud
The warmer than usual days and cold nights across Australia's south have caused
grape vines to burst into life well ahead of normal spring budding.
Chardonnay vines have begun waking from their winter dormancy in South Australia
's Coonawarra and Padthaway regions.
Viticulturist Dan Newson says that could result in an earlier vintage.
"The cold is playing a part," he said.
"What's happened is due to having dry soils and cooler temperatures overnight, t
he vines have gone into a deeper dormancy than what they normally will.
Cereal crops deteriorate amid dry weather
Cereal and canola crops in New South Wales have started to deteriorate.
Producers are pinning their hopes on a weak rain system due to come through tomo
rrow, but warmer than normal daytime temperatures are stressing crops.
Callers to ABC Central West this morning say 50 to 100 millimetres is needed wit

hin the next two weeks.

"Pretty much on a knifes edge at the moment. Our crops weren't sown until about
mi- June. They are looking for rain," one caller said.
"It's very marginal here at the moment. Everything is just struggling. The pastu
re are going back into the ground and the crops are just sitting there," another
said.
"Like the rest of the region, things will begin to deteriorate I should imagine,
" a listener said.
Dry conditions boost cattle, sheep sales
A growing number of farmers in the south-eastern states are selling off cattle d
ue to dry seasonal conditions and low water allocations.
Saleyard prices dropped sharply yesterday as lower-quality dairy and beef cattle
flooded into the market
Aaron Iori, from the National Livestock Reporting Service, says stock figures ar
e dramatically higher than last year.
"If you look at south-east South Australia for instance, numbers there are about
80 per cent higher than this time last year," he said.
"That's specifically because the area north of Naracoote is in a severe situatio
n and numbers are just continuing to come on to the market."
More sheep are also appearing in the saleyards because the dry winter has left m
any farms without feed.
Extra sales are being run in some places to cater for the higher numbers.
Gary Tapscott, from Elders, says the dry conditions are affecting everyone.
Spring forecast to be hot, dry
The National Climate Centre says Australia can expect hotter and drier condition
s this spring.
The latest three-month outlook has a 60 per cent chance of higher-than-average t
emperatures across most of the tropics, a large part of south-eastern Australia
and south-west West Australia.
There is also a higher risk of an El Nino weather pattern.
Senior meteorologist Grant Beard says higher temperatures in the Pacific and Ind
ian Oceans also means there is less chance of average rainfall.
"Fairly large areas of north-east to northern parts of Australia stand an increa
sed chance of having a poor start to their wet season," he said.
"There's a bit area of the Northern Territory and a fair bit of Queensland that
has a less than 40 per cent chance of receiving their median rainfall from Septe
mber to November.
MLA apologises for hacking tagging poll
Meat and Livestock Australia (MLA) has been forced to apologise, after two staff
members hacked into an Internet poll on the National Livestock Identification S
ystem (NLIS).
The Rural Press poll asked readers to rate the performance of the system to trac
e animals from birth to death.
Early poll results showed more than 60 per cent of voters described NLIS as poor
or terrible.
But a day later, after tampering by MLA staff, the poll showed 70 per cent belie
ved the system was good or excellent.
MLA's managing director, David Palmer, says the staff involved have not been sac
ked.
He concedes the organisation's credibility is on the line.
"This is a very damaging moment. I take it very seriously, the company takes it
very seriously, the board equally are most alarmed and shocked by it," he said.
"We will take all steps and measures to set us down a track to try to win back t
hat integrity and win back that credibility that we just so desperately need fro
m industry."
A long-time critic of NLIS, the Australian Beef Association, says the incident d
oes nothing to boost the credibility of electronic identification.

It says the incident backs its claims the system can be easily corrupted.
Chairwoman Linda Hewitt says Mr Palmer should immediately sack the MLA staff inv
olved.
"Possibly the man did not know what was going on, possibly he is very embarrasse
d, but he certainly needs to take very strong action straight away," she said.
"We will be keeping an eye on the situation.
"We will be putting press releases out about how we expect the whole situation t
o be handled and we will be questioning the integrity of the MLA's checking of i
tself."
Bishop makes no promises on education report
The federal Education Minister, Julie Bishop, has officially launched a report a
bout the drought's impact on education, but has failed to give any commitment to
implement its recommendations.
The study has called for more financial assistance to help drought-affected fami
lies educate their children.
Rural and remote families in New South Wales, Queensland and Victoria were inter
viewed as part of the study by Charles Sturt University.
It paid particular attention to tertiary education and found that rural students
are disadvantaged.
It recommended that those who have to move away from home to attend university s
hould be automatically eligible for youth allowance.
At the launch, Ms Bishop acknowledged the challenges of rural education, saying
the Government is continually reviewing its assistance programs.
Satellite brings broadband to remote areas
The Federal Government has announced a deal to give remote communities full acce
ss to broadband Internet services.
Rural users will have access to the world's first purpose-built communications s
atellite, which has been launched by a company based in Thailand.
The Government will also offer subsidised services as part of an $876 million pa
ckage linked to the Broadband Connect program, to keep costs similar to those of
city services.
IT consultant Peter Saville says the satellite will give also remote areas cheap
er phone calls and video conferencing.
"What this satellite system is going to do is provide a service to those people
who can't get any form of broadband or high speed Internet access and open up a
few other areas like voiceover IP," he said.
'Negative propaganda' behind forestry skills shortage
A Federal Government audit has accused the Greens and some mainstream media of p
eddling negative propaganda, which is exacerbating skills shortages in the timbe
r industry.
The report details future construction projects worth $4 billion in Tasmania, Vi
ctoria and South Australia.
But it says industry will struggle to find the 4,500 people needed to build them
.
Forestry Minister Eric Abetz says while the audit was completed by government au
thorities, it is independent.
Senator Abetz says it backs up his own anecdotal evidence showing young people a
re being turned off.
"You talk to the forestry schools around Australia and they will tell you that s
tudents feel it is difficult to enrol in forestry whilst they would like to, bec
ause of the pressure from green groups," he said.
EU bans contaminated rice imports
The European Union (EU) has stopped imports of US rice, which has been found to
contain an unapproved genetically-engineered variety.
American authorities will have to prove rice shipments are free of GM traces, be
fore they will be allowed in.

The EU's emergency measures follow discovery of tracts of experimental GE rice i

n US commercial supplies.
Germany's Bayer CropScience developed "LL Rice 601".
US Rice Federation spokesman David Coia claims the decision is preliminary.
"We're waiting for the final decision by the stating committee," he said.
"I think it's important to recognise that the US Food and Drug Administration ha
s declared that the long grain rice variety in question is safe."
But the EU says its ban will last at least six months.
BHP tipped to break own profit record
After posting a record profit of $13 billion, analysts say BHP Billiton could be
set for an even bigger result next year.
Hartley's resources expert Rob Brierly says increased demand from China and Indi
a should drive next year's profit to more than $15 billion.
He predicts the price of nickel, copper, iron ore and oil will continue to rise,
putting BHP in line to continue to break records in Australian corporate histor
y.
McGuigan confident of profit recovery
Australia's third-largest winery has recorded an $11.5 million loss.
McGuigan Simeon says for the first time shareholders will not be paid a dividend
.
Growers have been angry with the company since it decided to suspend or not rene
w contracts for more than 100 Sunraysia and Riverland farmers last year.
Managing director Dane Hudson says the results are disappointing but he remains
confident the company can recover.
"Our cashflow has been solid and that means our business will be around for some
time," he said.
"We need to just grow our way out of it.
Ethanol producer welcomes mandate plan
Australia's largest ethanol producer is urging the Federal Government to follow
New South Wales' decision to mandate the use of 10 per cent ethanol-blended petr
ol by 2011.
Premier Morris Iemma says the transition could lower fuel prices, reduce greenho
use gases and provide jobs in regional areas.
Manildra Group director Caroline Honan says the Federal Government must follow.
"As part of the ethanol industry we would like to congratulate the Premier on th
e announcement," he said.
"It is certainly a very positive for the ethanol industry.
"I think certainly the Premier has paved the way in terms of state legislation a
nd we would like to see the Federal Government also move towards a mandate as we
ll.
Canada finds new BSE case
Canadian authorities have reported another case of mad cow disease in a beef ani
mal in Alberta.
An investigation is under way to find out which herd the animal came from.
Northern properties buy-up a 'long-term investment'
Two Queensland families are rumoured to have spent around $300 million on a majo
r land and livestock purchase in Australia's north.
Graziers Peter Hughes and Bill Scott and their families have bought eight proper
ties and 115,000 cattle from the Colonial Agricultural Fund.
While he will not say how much they paid, Mr Hughes says the 2 million hectare p
ortfolio is a long-term investment.
"Whether it's good timing or not I am not sure but these opportunities don't ari
se very often, and when they arise you have got to grab them with both hands," h
e said.
"But we're in it for the long run. It's not a short-term thing for us.

Alliance to see cattle on Aboriginal land

A new alliance between land councils and the Northern Territory Cattlemen's Asso
ciation should see more cattle re-introduced to ungrazed Aboriginal land.
Properties are being leased in exchange for improved roads and fences, as well a
s employment and training.
A deal has just been signed to move 2,5000 head of cattle from Deep Well Station
on to Haasts Bluff, west of Alice Springs.
Pastoralist Billy Hayes thinks there will be benefits for everyone involved.
"They'll be as pleased to see cattle out there as we will be," he said.
"There'll be job outcomes, you know, for the young lads in the community.
Semi-black opals find excites miners
Miners in South Australia's remote outback are excited about a new find of rare,
semi-black opals near Coober Pedy.
The gems have been unearthed in a field called Alan's Ridge, about 60 kilometres
south of the town.
Opal miner John Dunstan says black opals are highly valuable, and can fetch up t
o $150,000 an ounce.
He says he could have made the find himself, if only he had kept working in the
field a little bit longer.
"I left a claim down there a couple of months ago, I cancelled it and moved to a
nother spot, and a couple of friends of mine went in there and decided to carry
on a bit further and they found a nice parcel," he said.
"Bit of nice semi-black opal and quite valuable, so they're very happy, and actu
ally I'm happy for them too.
Tractor drivers finish cross-country journey
A group of tractor drivers are toasting their success in crossing the continent
in a series of veteran Chamberlains.
The members of the 9G Chamberlain Tractor Club have bumped along country roads a
ll the way from Perth to the northern tip of Cape York.
They have been travelling at a top speed of 45 kilometres an hour.
Spokesman George Baldwin says they expect to raise $25,000 for the Royal Flying
Doctor Service and regional hospitals.
"Most of the people come from Western Australia," he said.
"They've journeyed through from Perth to Ayers Rock to Alice Springs to Mount Is
a, Cloncurry to Weipa.
"Yesterday we went to the tip with 15 tractors and everyone cheered and had cham
pagne and what not.
Fire deal links science, Indigenous knowledge
A world-first agreement to link modern science and traditional Aboriginal knowle
dge is set to revolutionise fire management in the Top End of the Northern Terri
tory.
The agreement is between various levels of government, a liquefied gas company a
nd traditional Indigenous groups in the West Arnhem land area.
It has taken 10 years to develop.
Consultant Dr Justin Russell-Smith says the deal will protect areas recognised a
round the world for their biodiversity.
"For management at the local scale it's critical," he said.
"There's no other real economic opportunities for people to get employed, get ba
ck onto country.
Frost-hit tobacco crops attract low prices
Australian tobacco growers are receiving poor prices for their bales, as the sel
ling season winds up.
Most growers are based in north-east Victoria, where a severe frost in early Apr
il took a heavy toll on tobacco plants.
Yesterday's sale at Myrtleford confirmed grower fears of a poor season as bales

were assessed for quality.

John Moore, from the Tobacco Cooperative, says growers will lose money this year
.
"There will be some financial hardship with people not harvesting all of their c
rop," he said.
"Perhaps what farmers in their terms call it the cream.
US looks to boost fire prevention
Authorities in the United States are looking at more effective ways to deal with
severe bushfires.
Jerry Williams, the former director of fire management with the Department of Ag
riculture, says mega-fires are becoming more dangerous as global warming increas
es.
He says there needs to be more emphasis on encouraging the community to prevent
fires.
"What we do is put everything every effort we can into combatting those fires,"
he said.
Water infrastructure upgrades 'waste of time'
The Productivity Commission says federal and state governments are wasting their
time trying to save water through infrastructure upgrades.
The 2002 Living Murray Initiative included $500 million funding for better infra
structure to save water.
The water was intended to be released as environmental flows.
But the commission has released a report saying that is expensive, and often det
rimental to the environment.
Spokesman Neil Byron wants to see an independent environmental trust set up to b
uy water from irrigators instead.
Flegg accused of conflict of interest
The leader of the Queensland Liberal Party has been accused of a conflict of int
erest over his multi-million dollar share and investment portfolio.
Dr Bruce Flegg has 100,000 shares in Australia's biggest irrigation property, Cu
bbie Station, worth around $16 million.
He also holds shares in other companies, including forestry and rural media.
Ethicist Noel Preston believes the portfolio is a moral and political risk for D
r Flegg.
"Particularly now that he's leader of the Liberal Party and particularly because
the water issue, whether Cubbie Station or elsewhere in Queensland is such a hi
gh-profile concern," he said.
"It is quuite apparent that he should have a close look at the question of movin
g his business interests right away from there.
"He's open very easily, I think, to the charge of having no credibility if he we
re to offer opinions in that respect."
Dr Flegg says his share portfolio is listed on the Internet.
He says he has never hidden any relevant matters.
"My pecuniary interest has been on the public register now for almost three year
s for anyone to see," he said.
"Clearly the one message that comes out of that is I'm not here because I need a
job.
"I'm here because I want to fix the health system in Queensland.
"In government there is a likelihood I would have to divest most or all of those
holdings."
AWB executive announces retirement
AWB senior executive Jill Gillingham has announced her retirement, two days afte
r giving evidence at the oil-for-food Inquiry.
The inquiry heard that Ms Gillingham acted as the go-between for former AWB boss
Andrew Lindberg and American public relations expert Peter Sandman in the draft
ing of the so-called apology document.

She was also involved in negotiating $750 million a year worth of grain handling
and storage contracts, and in co-ordinating AWB's response to the UN's Volcker
inquiry.
Tasmanian farmers fear plantations' impact
Farmers in north-west Tasmania are demanding changes to state planning laws, to
stop valuable farmland being converted to timber plantations.
They aired their concerns at a community meeting last night, as settlement looms
on the sale of a 320 hectare property which is under contract to Great Southern
Plantations.
About 170 farmers packed into the small memorial hall in the farming community o
f South Riana.
They are concerned for the future of the area, which has been built on successfu
l dairy and cropping enterprises.
They are calling for the Tasmanian Government to abolish plantation development
on prime agricultural land and will take their resolution to the Planning Minist
er next week.
The meeting comes within days of the King Island Council becoming the first in T
asmania to ban plantations on rural land, fearing they will risk the viability o
f dairy and beef industries.
Tasmanian Liberal Senator Richard Colbeck acknowledged there is a review under w
ay into the tax arrangements for forestry managed investment schemes, labelled b
y some as the drivers of plantation expansion.
Amcor blames external factors for profit woes
Australia's second-largest cardboard manufacturer is blaming cyclone Larry, high
fuel prices and a shift by the major supermarkets into plastic crates for a big
fall in profits.
Amcor's Australian division has reported a 20 per cent profit plunge, down $54 m
illion to $262 million, mainly due to falling cardboard sales.
But spokesman Paul Ward says the horticulture sector should not expect a big jum
p in packaging prices as a result.
"Price increases that may go through will purely relate to inputs that we have n
o control over," he said.
"Everyone knows about the fuel costs that severely impacts businesses like ourse
lves.
Oxiana to expand Prominent Hill mine
Oxiana Limited says it will spend $775 million developing the Prominent Hill cop
per gold mine in South Australia into one of the nation's biggest copper produce
rs.
The mine, which is 120 kilometres from Olympic Dam, was discovered in 2001.
It is widely considered to be the find of the decade.
Tanami Gold due to begin first pour
Australia's most remote gold mine is expecting to pour its first gold this weeke
nd.
The Tanami Gold Mine, on the edge of the Tanami Desert in northern Western Austr
alia, opened in May.
It had expected its first gold to be sold last month.
But a number of setbacks, including poor roads for transporting materials, and a
lack of workers has pushed back the start date.
Chairman Denis Waddell says after all the delays, they will be taking advantage
of the good gold price.
"We'll be selling it, we've got a fair bit of expenditure at the moment, so we'r
e not in the position at the moment were we can punt on where the gold price is
going," he said
Stanton urges HGP declaration on beef
Nutritionist Rosemary Stanton is calling for better meat labelling that tells co

nsumers whether Hormone Growth Promotants (HGPs) have been used in producing bee
f.
The Pesticides and Veterinary Medicines Authority believes promotants are used t
o produce 40 per cent of all beef produced in Australia.
With a ban on HGPs in the European Union, Ms Stanton says shoppers here should b
e told about the history of the meat they are buying.
"There are two ways you could do this," she said.
"You could just simply label the beef that comes from animals that don't have HG
Ps, so that it could be no HGPs used in the production of this meat, or the seco
nd way would be that you could say that they have been used."
MLA poll rigging concerns Cattle Council
The Cattle Council has expressed concern over the involvement of peak body Meat
and Livestock Australia (MLA) in an Internet poll rigging scandal.
It was revealed yesterday that two employees rorted an online poll about the MLA
-run National Livestock Identification Scheme (NLIS).
Council president Bill Bray is worried but he says the incident should not be ta
ken out of context.
"There are a few silly individuals that have lost their way and done something s
tupid but that will be sorted out," he said.
Wine study encourages regional leadership
Winemakers are looking at how they can work together to try to cut down long wor
king hours.
A new national project is under way looking at cellar door competition and leade
rship.
The Grape and Wine Research and Development Corporation wants to encourage leade
rship in local regions, including the Riverland and Hunter Valley.
Consultant Jill Briggs says poor leadership means many winemakers are overworked
.
"There is a real sense that people who are growing wine and make wine are really
time-poor," she said.
"They've got lots of brainpower and lots of initiative and lots of enthusiasm.
Growth conference examines seachanges' impact
A national conference in Tasmania this week is looking at whether rural and coas
tal communities can continue to cope with an influx of city residents.
The 10th Sustainable Regional Economic Growth Conference has heard that the seac
hange and treechange trend has had mixed results.
Dr Geoff Cockfield, from the University of Southern Queensland, says city reside
nts moving in with higher incomes and new skills, are now being hit by soaring f
uel prices.
"Certainly that's going to limit some thought of commuting great distances," he
said.
"On the other hand there is a possible upside to that, because high fuel prices
might mean that we don't transport things in, people don't shop out quite as muc
h.
Aquaculture conference delegates descend on Adelaide
Adelaide is hosting the world's largest aquaculture conference over the next thr
ee days.
More than 1,000 delegates from around the world are attending Skretting Australa
sian Aquaculture.
The theme is innovation, advancing and promoting growth within the industry on a
global scale.
Tuna, shellfish, kingfish, barramundi, prawns, sea urchins along with marketing
and corporate branding are just a smidgen of what is on the agenda.
Aquaculture is the fastest growing food producing sector in the world and provid
es about 27 per cent of total seafood supply.

Cornish looks to halt SAFF infighting

The South Australian Farmers Federation (SAFF) has appointed a new president as
it attempts to stop falling membership levels.
Wayne Cornish, who headed up SAFF between 1995 and 1999, has been returned to th
e top job.
He has just completed six years as vice president of the National Farmers Federa
tion.
Mr Cornish says he hopes to bring unity to the SAFF, which has been plagued by i
nfighting.
"There has been in recent days too much of a temptation to do our dirty washing
in public and that is going to stop," he said.
AWI values benefits to growers at $417m
Peak body Australian Wool Innovation (AWI) says it has delivered $417 million in
benefits to woolgrowers over the past three years.
That is according to an independent assessment of the research and development o
rganisation, which has been released as growers prepare to vote on future levy p
ayments.
The report says AWI has established more than 50 direct business relationships t
o market Australian wool.
Chief executive Len Stephens says those relationships are the future of the sect
or.
"This week I'll be in Shanghai and Hong Kong with our textile team and we'll be
talking to 40 international retailers and showing them what we call our innovati
on collection for next year," he said.
"In the textile area, I think we've changed our business model to what it was th
ree years ago.
"I'm feeling very confident that that model will work and will produce improved
demand for wool over the next couple of years."
Court rejects Gunns claim against activists
An attempt by Tasmanian timber company Gunns Limited to seek damages from 20 env
ironmentalists has been struck out in the Victorian Supreme Court.
Gunns was seeking almost $7 million from the activists.
It was claiming the activists had damaged profits and interfered with contracts
by campaigning against the company's logging activities.
US ramps up beef exports to Japan
The United States Agriculture Department says beef exports worth around almost $
400 million will be sold to Japan this financial year.
It is a far cry from export levels before the outbreak of mad cow disease in the
US.
USDA says beef will slowly move back into the Japanese market, which has been do
minated by Australia since the first US mad cow case in 2003.
Economist Monte Vandeveer estimates the US will export close to one-third of its
pre-mad cow levels to Japan in fiscal 2007.
"I think we could see in the neighbourhood of maybe $400 million worth of beef e
xports to Japan in fiscal 2007- less than a third of what we saw in the pre-BSE
period," he said.
USDA says that is still about 20 per cent of the Japanese market.
Drought, dollar dent SunRice profits
Another year of drought, the rising Australian dollar and international competit
ion have contributed to a big profit downturn for one of the nation's big food e
xporters.
SunRice has announced a profit of $5 million, down from $33 million the year bef
ore.
Mango growers comfortable with imports decision
The mango industry says it is not concerned by a decision to allow imports from

Taiwan into Australia.

Biosecurity Australia has approved an application to import mangoes under strict
regulations, including vapour heat treatment of the fruit before they leave Tai
wan.
Trevor Dunmall, from the Australian Mango Industry Association, says there will
only be a narrow window for the fruit to compete with the homegrown product.
"The Taiwanese season's basically counter-seasonal to the Australian season alth
ough there could be some overlap in their season with our early season mangoes,"
he said.
Western growers experiment with summer crops
While crops in the west are usually grown in the winter months and harvested in
the summer months, this year is a bit topsy-turvy.
Some growers are experimenting with summer crops like millet and sorghum to prov
ide more feed for livestock.
Consultant Simon Teakle says seed is relatively cheap and the crops could be a g
ood option for growers struggling through a dry season.
"People have obviously, at the moment, got a shortage of stock feed," he said.
"The type of carrying capacity that forage sorghum and forage millet has is quit
e large, because of the amount of growth that they get, provided they get sub-so
il moisture in there.
Central Qld farmers predict bumper harvest
The wheat harvest has started in central Queensland, where growers are expecting
a bumper 500,000 tonne harvest.
The latest forecast from the Australian Bureau of Agriculture and Resource Econo
mics predicts an 11 per cent drop from last year's near-record harvest of 40.5 m
illion tonnes nationwide.
Consultant Pat McKee says it is the first time since the 2000 winter season that
central Queensland farmers look like they will have an above-average crop.
"I think that even with the warm finish that the crops, particularly north of Em
erald and north of Capella, will be quite good as far as quality is concerned,"
he said.
Horticulture code delays anger growers
Fruit and vegetable growers are becoming increasingly angry at delays to their p
romised code of conduct.
Two years ago the Federal Government pledged a mandatory code to improve transpa
rency between growers and wholesalers.
A group of north Queensland growers issued an ultimatum last week in an attempt
to force the Government to confirm whether the code will be mandatory or volunta
ry.
Atherton Tablelands fruit grower Scott Dixson says it is a disgrace that the dea
dline has passed and they still have not heard from the Government.
"You tell me what other business sends away their total annual production to a t
hird-party not knowing what financial return they will receive and no legal righ
t of documented evidence of what it in fact sold for?" he said.
"The New South Wales Farmers Association have already gone to press over this is
sue and they have actually accused the Government of holding it up, surely becau
se of the Queensland election."
Queensland Nationals Senator Ron Boswell says he understands growers' frustratio
ns, but he cannot make any promises.
Farmer confidence hits 4-year low: survey
Farmer confidence levels have slumped to a four-year low, according to the lates
t quarterly survey by Rabobank.
A lack of winter rain has caused farmers in most states to be more pessimistic a
bout their outlook, with the biggest fall in confidence in Western Australia, cl
osely followed by Victoria and South Australia.
Peter Knobblanche says cereal croppers and dairy farmers are the most concerned,

followed by beef, sheep, wool and lamb producers.

"It was last this bad in 2002 when we had the big drought then so we're followin
g suit I guess into the dry season again," he said.
New projects to cut Murray River salinity
More projects to reduce salinity in the Murray River will be built under a new $
28.5 million project.
The state and federal governments will fund the salt interception schemes.
John Johnson, from the Natural Resource Management Board, says other projects wi
ll also benefit.
Survey 'dispels myth' farming harms environment
A wildlife survey in the southern Riverina of New South Wales has found more tha
n 300 unusual and endangered animals living on irrigation properties.
Irrigators instigated the survey across more than 1 million hectares of the Murr
ay River catchment.
Albury-based ecologist Matthew Herring says the findings dispel the perception t
hat farming is bad for the environment.
"There was some really exciting species found like the little gilberts whistler
that you get in red gum areas where there's a dense understorey," he said.
Stripe rust found in NSW, SA wheat crops
The fungal disease, stripe rust, has been discovered in wheat crops in northern
New South Wales and South Australia for the first time this year.
The highly contagious disease, which can cut crop yields by up to 50 per cent, h
as been found between Moree and Narrabri, and on the Yorke Peninsual.
Dr Gordon Murray, from the Department of Primary Industries in New South Wales,
says the disease could spread.
He says growers with low yields need to decide whether it is worth using fungici
des.
"With the generally dry conditions that will tend to slow the amount of stripe r
ust but it will also mean that the damage it does will be much less," he said.
"Dryland crops are unlikely to benefit from spraying unless we get a turnaround
in the season and a lot more rain."
Stripe rust is found on the leaf of wheat plants, in the form of yellow stripes
or spores.
High temperatures mark Dowerin field day
An unusually warm day has marked the start of Western Australia's largest field
days in the Wheatbelt town of Dowerin.
Today's expected top of around 27 degrees seems to reflect the strange season be
ing endured by many farmers this year.
But as Jane Grieve reports, big crowds are still expected.
"Out of the car window on the way to Dowerin, two hours north east of Perth, cro
ps are patchy and stock feed marginal.
"Machinery sales could be affected this year, with many farmers not anticipating
a good harvest.
Traditional owners decry mine expansion approval
Environmental approval has been granted for the expansion of the McArthur River
Mine in the Gulf of Carpentaria.
The conversion of the zinc and lead mine to open-cut involves moving the McArthu
r River five kilometres.
Despite the green light and the promise of a substantial environmental managemen
t bond, local traditional owners still oppose the move.
Spokesman Jack Green says talk of local training programs is not enough.
"It's the main river ... we [have] culture and ceremony and sacred site tied up
on that river," he said.
"If they're going to change it and that's going to really make us upset, really
worried about it.

"It's going to bugger up the song line, the dreaming line you know.
"It's bad enough already."
ATV industry working on safety standards
Motorcycle companies say they are creating a national safety standard for four-w
heel all-terrain bikes.
There have been concerns for some years about the number of crashes involving al
l-terrain vehicles (ATVs).
The New South Wales Coroner is investigating the latest, the death of a 55-yearold rider on a farm on the Monaro in New South Wales.
Yamaha safety lawyer Kelly Stallard says the industry is working on standards, a
code of practice, and educating riders.
"The ATV industry is very concerned with occupational health and safety issues,"
she said.
"We are finalising an industry code of practice for users, particularly farmers,
on the safe use of these machines.
Heifer exports may hurt dairy industry: Perkins
With the ongoing dry weather conditions, exports of dairy heifers might help to
save farmers.
But one industry leader is worried about the long-term impact on the Australian
herd.
Turkey is the latest country to inquire about Australian livestock, as it looks
to set up its own breeding herd.
But Michael Perkins, from the Holstien-Fresian Association, says milk companies
need to offer farmers better prices, to stop Australia's best livestock disappea
ring overseas.
"If milk prices do go down like the indication is at the moment - there's a 2 to
5 per cent drop in the commodity price - then we could be looking at a lot of h
eifers leaving this country," he said.
"That would be sad for the industry long-term.
Farmers to vote on Dairy Australia levy
Dairy farmers will vote for the first time early next year on how much they shou
ld pay to peak body Dairy Australia.
Producers currently pay a levy of one-third of a cent per litre to fund research
and development, marketing and trade issues.
The levy totals $32 million a year.
Dairy Australia's John McKew says the levy will have to increase just to maintai
n current work.
"They have to start thinking about it now," he said.
"As their national services body Dairy Australia, how are we going to fund the s
ervices that we currently have which are imperative for the industry, but also w
hat are we going to do about the issues which are on our doorstep or on the cusp
of it, issues that we need to manage as an industry moving forward?.
Drought blamed for cattle indicator drop
A lack of rain is being blamed for the biggest weekly fall in the Eastern Young
Cattle Indicator since April last year.
The indicator of prices from saleyards in the eastern states is considered a gui
de to general price trends.
It fell 14 cents last week and is hovering around $3.60, compared to $4.00 at th
e same time last year.
Peter Weeks, from Meat and Livestock Australia, says if it does not rain the mar
ket could fall by up to 60 cents a kilo.
"Certainly without widespread rain in the next four to six weeks, I think we wil
l see prices fall back further," he said.
"They will gradually decline moving into late this year and early next year, sim
ply because demand is coming back on export markets and we've got the spring sup
ply about to come on."

In the south-west of Western Australia a surge of dairy herds on to the market h

as caused the price of cows to fall $150 per head.
With low demand locally, dairy farmers from the east are buying cows, trucking t
hem across the Nullarbor, and still saving between $100 and $200 per head.
Livestock agent Karl Harnett says with more WA farmers leaving the industry, the
re is a big gap for the eastern states to capitalise on.
"Basically right across the eastern seaboard over the last 12 months there has b
een a shortage of dairy cattle, especially quality dairy cattle," he said.
"Within in the last six months we've probably seen around 700 to 800 dairy cattl
e that have moved across the border.
Advertising funds to help stonefruit growers
The Federal Government has announced a one-off $1 million grant to help stonefru
it growers who cannot sell fruit to Taiwan this year.
Growers have been locked out of the export market due to new fruit fly protocols
.
McGauran leans toward voluntary horticulture code
There are growing signs the horticulture industry will have to be satisfied with
a voluntary code of conduct.
The Federal Government originally pledged a mandatory code to give fruit and veg
etable producers more negotiating power in the market place.
But Agriculture Minister Peter McGauran says a voluntary code is now being given
serious consideration, although no final decision has been made.
"One thing we want to avoid by way of a mandatory code is polarisation of the in
dustry," he said.
"You need the whole of supply chain in horticulture working together as we face
the pressure of cheap imports and a voluntary code of conduct may very well serv
e to bring industry closer together for mutual benefit.
AWB plays down Cole inquiry to growers
Wheat exporter AWB has told Victorian grain growers it does not think the Cole i
nquiry into allegations of sanction-breaking kickbacks will present any problems
for the company.
AWB's Brendan Stewart and Ian Donges have also told a grain growers' meeting in
Melbourne that they believe the company will be in a position to rebuild after t
he inquiry.
The Victorian Farmers Federation grains group president, Ian Hastings, says he b
elieves AWB has asked for similar meetings with farmer groups in other states.
"Brendan Stewart spoke about how the Cole inquiry was progressing and the fact t
hat AWB still were clearly of the belief that they have not really done anything
wrong," he said.
"They expect at the end of the Cole inquiry that [they] should be able to start
and rebuild the company.
"They don't believe that they have actually broken any laws so I guess we all ne
ed to wait and see."
AWB spokesman Peter McBride says the company does not want to make any public st
atement pre-empting the outcome of the Cole inquiry.
Clean Seas eyes onshore tuna breeding success
South Australian company Clean Seas believes it might be only a year away from b
ecoming the first to crack the secret of breeding tuna onshore.
The problem lies in trying to replicate breeding conditions in the wild, where t
una travel vast distances to find warm water to spawn.
Marine biotechnologist Abigail Elizur says the company is drawing on knowledge f
rom around the world to try to speed up the process.
"I hope that by the end of the year or the start or the beginning of 2007 we wil
l already have spawning and we certainly will try and apply all the previous kno
wledge," she said.

Isolated growers ship fruit to Europe

Mango growers in Katherine and Kununurra in far north Western Australia are sett
ing up a company to sell fruit directly to European markets.
Trials of sending fruit to Europe via sea freight have until now been heavily fi
nanced by government and industry.
The success of those trials has led to the new venture.
Executive officer Jill Parker is confident it will work, despite difficult marke
t conditions in recent years.
"Not a lot of prospects on exports for this area other than getting this sea fre
ight to work," she said.
"It's been difficult for them to be able to justify to spending this sort of mon
ey that's needed to to get this off the ground.
Bull sale may have set records
Livestock agents believe a charolais bull sale in southern Queensland has set an
Australian record.
Despite the drought, 188 palgrove bulls sold for an average of $11,412 each this
week.
It is the highest average price for a single vendor, on-property sale.
Animals continue to feel cyclone's impact
Native and feral animals are showing up on farms looking for food more than five
months after cyclone Larry crossed the north Queensland coast.
The cyclone damaged 15,000 homes, disrupted farming and devastated bushland.
Atherton Tablelands dairy farmer James Geraghty says he has never seen such an e
xplosion of wildlife.
"A mate's got cassowaries coming onto his lawn," he said.
"There's a six-metre python living in a bloke's house in Cairns because he's got
nowhere to live in the scrub.
"Pigs and dogs we haven't seen the numbers of what you call feral animals outsid
e the scrub for a long long time.
Animal welfare kit well-received: Dairy Australia
Dairy Australia says its efforts to address animal welfare have been well-receiv
ed.
The peak body has worked with the RSPCA and Animals Australia to develop an anim
al welfare kit.
Spokeswoman Brigid Peachey says the kit discusses contentious issues, including
the handling of bobby calves, dehorning and tail docking.
"What the kit's about is to let farmers know that they're doing on farm is alrea
dy good animal welfare in terms of on-farm husbandry," she said.
"What we are hoping it's doing is giving them the words to go out there, and tal
k to people about animal welfare and what they are doing in terms of just their
good on farm practices.
Cattle Council, RSPCA talk welfare
In a new approach to addressing animal welfare issues, the Cattle Council has he
ld talks with the RSPCA for the first time.
The meeting is part of an animal welfare roundtable at the Cattle Council's exec
utive meeting in Hobart.
President Bill Bray says the livestock industry can improve its image by working
with groups which are trusted by the public.
"RSPCA does have that respect, they have some views that are contrary to ours bu
t we have to engage them and we have to get smarter at how we engage them and en
gage the community," he said.
SA wool growers oppose AWI levy increase
Wool growers in southern South Australia say they will not support a push to inc
rease the levy they pay to the peak body, Australian Wool Innovation (AWI).
A report released this week says AWI has returned $417 million in benefits to th

e wool industry.
But growers say they will not vote to increase the levy above the current rate o
f 2 per cent in this year's wool poll.
Tony Hedges, from Keith, does not think growers should pay anything.
"What have they done for us?" he said.
"What they're doing now is the repeat of what they did 20 years ago, and what ha
ppened 20 years ago was the repeat of what they did 20 years before.
"I don't think they need any more money, I think they squander what money they'v
e got there now.
"They've had their chances and they've blown it, I think."
Trevor Little, from Kongorong, says growers have seen little output from the AWI
.
"The money that's been achieved over the years, and many years of the levy on th
e wool has not really in the last 10 years achieved anything," he said.
Malcolm McDonald, from Willalooka Pastoral Company, added: "I don't think, from
a promotional point of view, that it's been spent wisely.
Woolgrowers revise PETA case claim
There has been a new development in the ongoing Federal Court case between Austr
alian Wool Innovation (AWI) and animal rights group PETA.
The 103 woolgrowers supporting the action will now no longer allege that they ha
ve suffered a direct economic loss as a result of a PETA campaign.
The case centres on allegations that PETA's actions have reduced sales of wool b
y spreading negative publicity and misinformation about the wool industry and th
e practice of mulesing.
Les Targ, from AWI, says the growers are still involved in other parts of the cl
ass action.
"What is happening is that those 103 woolgrowers are no longer claiming direct e
conomic loss because of the difficulties of proving that," he said.
"You've got to remember that they say goodbye to their wool at the farm gate and
there's about six different owners between them and the retailer that sells the
finished product.
NLIS poll hacking probe continues
An independent review into tampering with an Internet poll on the National Lives
tock Identification System (NLIS) is expected within the next week.
Meat and Livestock Australia says the report by Ernst and Young is taking longer
than expected because of the depth and breadth of the review.
Audits find mutton labelled as lamb
Three abattoirs have been told to clean up their act, after being caught process
ing mutton as lamb.
The industry watchdog AusMeat uncovered the breaches in Victoria and New South W
ales during regular audits.
The authority cannot confirm how much meat headed for the domestic market has be
en wrongly labelled.
Chief executive Ian King now wants all animals assessed before processing, inste
ad of the current 10 per cent sample.
"Back in 1991 there was actually a standard under an AusMeat advice that actuall
y required all ovine animals to be assessed," he said.
AWB secret clause may cost growers
The wheat export regulator has confirmed that growers could face losses, because
of a confidential clause in a contract between the corporate and export arms of
AWB.
If the grain handler loses its export monopoly after the oil-for-food Inquiry, A
WB Limited could claim damages from the national wheat pool.
The pool is run by AWB International and pays growers for their grain.
The Wheat Export Authority says it has a number of concerns about the contract,
which is now being re-negotiated as part of an AWB restructure.

But AWB International chairman Ian Donges denies damages could run to tens of mi
llions of dollars.
"It's a three-year agreement so if you break the agreement in the first year it
would be greater than in the last year of the agreement but we are only talking
in the end of the day many small numbers of millions of dollars if anything," he
said.
"There has been no problems between the two companies in terms of the way this c
ontract has been performing - at AWB International, we have been extremely pleas
ed with the performance of AWB Limited.
"Speculation there is going to be a break in the contract is purely that."
Mr Donges' comments have not reassured the Grains Council of Australia.
Chairman Murray Jones says growers should not be paying for the fee at all and w
ants AWB to make the service agreement public immediately.
"There shouldn't be a fee that goes back to growers for a separation fee and if
there is a break fee then we really need to know what it is," he said.
"We are really calling on AWB to tell us what the service agreement contains, te
ll us what the break fees may be and any liabilities that the growers may take o
n."
Former AWB executive disputes colleague's evidence
A former AWB executive has denied to the Cole inquiry that he hatched a plan wit
h the Iraqi Grains Board in October 2000 to set up a scheme through which trucki
ng fees would be paid.
AWB's former general manager for marketing, Charles Stott, has told the hearing
he rejects evidence given last week by his former colleague, Dominic Hogan.
Senior counsel assisting the inquiry, John Agius QC, went straight to an October
2000 series of handwritten notes and letters involving a meeting with Mr Hogan,
Mr Stott and the Iraqi Minister for Trade.
Mr Stott refuted Mr Hogan's claim that he had anything to do with the establishm
ent of an incentives scheme through which trucking fees would be paid.
Mr Agius then asked Mr Stott if he was suggesting that Mr Hogan's notes were mad
e up.
Mr Stott then replied: "I have absolutely no idea.
"I don't know where they were drafted, I'm not even sure he took notes."
Victorian ram takes out Supreme Merino title
A superfine ram from Victoria has taken out one of the wool industry's most pres
tigious awards.
Champion rams from five states competed for the Supreme Merino Ram title last ni
ght at the National Merino Sheep Show at Dubbo in central western New South Wale
s.
The ram Rockbank Dozer, from the Rockbank Stud at Dunkeld in Victoria's west, wa
s named the best.
"He's 16 micron and he's a very large ram for that quality - he's 130 kilos," st
ud principal John Crawford said.
Wheat grower wins young farmer title
A Western Australian wheat grower has been named National Young Farmer of the Ye
ar.
Mogumber's Cameron Williams, 27, won the public speaking, agronomy and fencing m
odules of the competition.
He says it was tough job beating the 14 other finalists.
"The other guys from the other states were really good quality and had a lot of
skills and had different experiences to me," he said.
"But certainly the day was just a lot of fun, a real learning experience.
Retailers question winemakers' environmental credentials
Australian winemakers are being told they need to show they are clean and green,
with a growing number of overseas retailers asking about the environmental cred
entials of their suppliers.

Seventy per cent of the nation's wine grape crush is already signed up to a stew
ardship program which documents good environmental practices.
Amy Russell, from the Winemakers Federation, says retailers in the United Kingdo
m in particular are concerned about water use, waste and greenhouse gas emission
s.
"There's certainly increasing pressure out there from non-government organisatio
ns and even from some retailers to actually prove any claims that you may have,"
she said.
"We do have that inherent position of being clean and green and it's not just in
the wine industry it's in many industries.
SA bushfire season may start early
South Australia's bushfire season could be brought forward because of the threat
posed by the predicted hot dry summer.
Deputy chief officer Andrew Lawson, from the Country Fire Service, says the lack
of winter rain has also raised the fire threat.
The state's bushfire season usually starts on the Eyre Peninsula on November 1.
But Mr Lawson says but it could begin weeks earlier.
"We're very concerned about the lack of rain over winter and that will lead to t
he forest fuels being drier a lot earlier," he said.
Sunbeam Foods back in the black
Australia's biggest dried fruit processing company
, posting a $7 million profit before tax.
Sunbeam Foods, in Victoria's north-west, also runs
ce business.
The company has reduced its debt by $30 million by
k and better managing cash.
Chief executive Richard Findlay says the result is
$700,000 loss but it is still unsatisfactory.

has recorded a big turnaround

a citrus packing shed and jui
selling assets, reducing stoc
an improvement on last year's

Mango growers expect bumper harvest

The Australian mango harvest has begun, with picking under way at Pine Creek in
the Northern Territory.
Early indications suggest a bumper crop but despite the amount of fruit, growers
are still hopeful of strong prices.
Michelle Hill, who manages the Pine Creek Plantation, says cyclone Larry's impac
t on banana prices could have a positive spin-off for mangoes.
"We've been paying a lot of money for bananas over the last sort of six months s
o I think that the mangoes will come in and people will go, 'Oh gee these are no
t so expensive'," she said.
Q-fever case prompts push to relocate abattoir
A push has begun to relocate a Victorian abattoir after links were made to four
cases of the disease Q-fever.
The Wodonga meatworks is located within the Wodonga city boundary.
The local council has now announced a feasibility study into moving it to a loca
tion well away from populated areas.
Last month the Victorian Department of Human Services revealed four people in Wo
donga had Q-fever.
It named one possible cause as dust from holding yards at the abattoir.
None had direct contact with livestock, the usual transmitter of the disease.
The meatworks is owned by Norvic Food Processing.
The company's general manager, John Hayes, acknowledged that eventually the abat
toir will have to be relocated.
Cole inquiry awaits documents ruling
The oil-for-food inquiry into allegations AWB paid $300 million in kickbacks to
the Iraqi regime of Saddam Hussein has been adjourned to a date to be fixed.
The inquiry is now waiting for the Federal Court to decide if hundreds of secret

AWB documents can be examined by Commissioner Terence Cole.

Rail price dispute may see grain trucked
AWB and GrainCorp say all Queensland grain could have to be transported by road
in future because they have not been able to strike a deal on freight rates with
Queensland Rail.
The rail company says there has been a verbal agreement for a 12 per cent averag
e increase in freight rates.
But Lachlan Benson, from AWB, says there is no deal and the proposed increases o
f between 10 and 20 per cent are concerning.
''The proposed rates put forward raise serious concerns with us as to whether ra
il remains a viable option for growers to export their grain," he said.
"What that actually might mean for the rail network ... [is] you are going to se
e a large percentage of the harvest transferring to road."
Expert urges stronger water rules
The rights of farmers and rural and regional communities to have access to water
is expected to cause legal battles in the future.
A water policy expert believes state governments need to improve the legal frame
work for water, as new pipelines are built to solve water shortages in the citie
s.
Professor Jennifer McKay, from the University of South Australia, says there man
y issues with piping water from one region to another.
"Because we're now entering the era where we will be cross-sharing water between
different watersheds," she said.
"This will bring up the issue of payments and intersectoral conflicts.
Goulburn Murray water diversion 'not fair'
Farmers are dismayed at the Victorian Government's plan to divert water away fro
m the Goulburn Murray irrigation district to supply two regional cities.
The State Government is building a pipeline from the Waranga Basin to Bendigo, a
nd now wants to extend it as far as Ballarat.
But Simon Ramsey says it is not fair on dairy farmers and fruit growers, who wil
l only receive 7 per cent of the water allocations this season.
"It's disappointing given the angst and apprehension in the rural community abou
t the present prolonged dry conditions and also obviously the very little alloca
tions particularly in the Goulbourn system and Campaspe," he said.
Worker relocation scheme raises social concerns
Social welfare groups have concerns about Federal Government plans to pay the un
employed to move to regional areas to fill labour shortages.
Under a pilot scheme, the Government will offer potential workers up to $5,000 t
o move from areas with above-average unemployment.
The Agrifoods Industry Skills Council says there needs to be major infrastructur
e infrastructure to make the project work.
Lin Hatfield-Dodds, from the Australian Council of Social Service, has concerns
about the impact of the proposal on workers.
"Our concern is just if people do move for work what happens if that job doesn't
work out, what supports and what safety nets are we going to put in place to en
able people to go back to where they've come from?" she said.
"But there's also and probably more importantly the organisational and emotional
costs of moving and the relational costs.
"People who do move a large distance for work often find that they can feel isol
ated."
The mining sector does not think the project will help ease the labour shortage.
Reg Howard-Smith, from the WA Chamber of Minerals and Energy, says the practice
of flying workers in and out of mine sites could be a major stumbling block.
"We haven't seen details on what's proposed but if it's a requirement to live in
a regional centre, then obviously that precludes people working on a fly-in fly
-out basis," he said.

Govt accused of withholding horticulture reports

The Horticulture Council has accused the Federal Government of withholding two i
ndependent reports, which it says highlight major failings in the sector's volun
tary code of conduct.
The two-year-old reports into the sector's existing code were only published on
the Produce and Industry Ombudman's website today.
The move comes just days after federal Agriculture Minister Peter McGauran signa
lled that a new code to improve transparency in the industry, might also be volu
ntary.
The council's Mark Panitz says the reports back up grower claims that the existi
ng code is not working.
"Look the fundamental issue is that Government's kept these annual reports in th
e bottom draw so they wouldn't be in the public domain during this debate about
the need for a mandatory code," he said.
"Now that person's report, an independent report, has said there's systemic prob
lems within the industry within these annual reports and it's also clear evidenc
e that the voluntary code doesn't work."
Thousands flock to Birdsville Races
This weekend all outback roads lead to Queensland's far south-west corner, for t
he famous Birdsville Races.
Spectators and competitors travel for days to attend the two-day race meet, whic
h culminates with the $25,000 Birdsville Cup tomorrow.
Karen Brook, the official race photographer, says the organisers are expecting a
bout 6,000 people to attend.
"Last night it was one of the biggest crowds a lot of us have seen," she said.
"In town we actually have the Variety Bash Rally ended in Birdsville on Wednesda
y.
"That in alone put another 700 people in Birdsville on Wednesday night that have
now stayed for the weekend.
Spring brings higher demand for flowers
It is the first day of spring and today marks the beginning of the peak demand s
eason for fresh flowers.
Victorian wild flower farmer James Frew says its the busiest time of the year as
he prepares to sell to the hungry Sydney market.
He says the eastern markets are the most lucrative for flower producers.
"The market in Sydney is just, 'What have you got, what have you got? What can y
ou send me?" he said.
Flower industry 'needs marketing' to blossom
Flower growers are being told they need to invest up to half-a-million dollars i
n a national marketing campaign to boost sales.
The industry generates up to $900 million in farm gate sales each year.
Brian Shannon, from the Flower Association of Queensland, says that figure could
double, if Australia heeds the British experience.
"They had a marketing campaign over there that increased the sale of cut flowers
by 100 per cent over five years," he said.
"What we're trying to do is let our members and growers know that this is the so
rt of thing we need to do in Australia.
Cattle, lamb slaughterings down
The number of animals being slaughtered for meat across Australia has fallen for
the fourth month in a row.
The Australian Bureau of Statistics says cattle slaughterings in July fell to 64
0,000, the lowest since last December.
CWA calls for country of origin labels
The Country Women's Association (CWA) is calling on shoppers to buy homegrown pr

oduce at the supermarket, to help ensure the survival of Australian agriculture.

The 32nd national conference of the CWA has brought more than 100 delegates to D
arwin this week.
The new president, Tasmanian Leslie Young, says cheap imports and the drought me
an it is time for everybody to work together.
Banana prices tipped to stay high
If you were hoping to see a fall in the price of bananas this month, wholesalers
are warning us not to hold our breath.
Market analysts have been predicting a gradual return of bananas to the market,
as north Queensland farms recover from the impact of cyclone Larry.
That would lead to lower prices.
But Sydney banana wholesaler Harry Theoharous says those high prices will be aro
und for a few months yet.
"We've been getting a reasonable volume of fruit out of the New South Wales grow
ing areas and as they've gone through a very cold winter their supplies now do d
windle away," he said.
"We do see a slight increase of fruit coming out of Queensland but we're still l
ooking at around 20 weeks before we get some reasonable volumes coming in.
Snail forces citrus shipment redirection
A brown snail the size of a pin head has been found in a shipment of Australian
citrus fruit being exported to the United States.
It is the second year in a row that a snail from a packing shed in the Sunraysia
region has been found by US quarantine officials.
Peter Walker, from exporter Riversun, says somehow the snail slipped through loc
al quarantine procedures.
The affected fruit will now have to be sold to another country.
Quarantine protocols hit fruit, vegetable growers
The Australian Horticultural Exporters Association says it has never been harder
or more expensive to send fruit and vegetables overseas.
It says the value of horticulture exports has fallen $230 million, or 30 per cen
t, since 2003.
Deputy chair David Minnis says tougher quarantine protocols imposed by other cou
ntries are taking their toll.
"Just about any fruit that's host for fruit fly - so mangoes, table grapes, ston
efruit, cherries, apples, pears, citrus - all of these fruits have restrictions
put on their movement into a whole range of countries," he said.
Cattle industry prefers 'duffing' to 'rustling'
A move is on to halt the Americanisation of English in rural areas.
The cattle industry is demanding an end to the use of the American phrase "cattl
e rustling" when referring to livestock theft, rather than the more Aussie "catt
le duffing".
Language expert Professor Roly Sussex, from the University of Queensland, says t
he term "cattle rustling" is now widespread, but it is neither necessary nor par
ticularly appropriate.
Newton named produce Ombudsman
A new Ombudsman has been appointed to regulate disputes between fruit and vegeta
ble producers and buyers.
It follows the release of two reports questioning the merits of a voluntary code
of conduct for the industry.
The Federal Government has appointed David Newton from the Sydney-based Accord g
roup as the Produce and Grocery Ombudsman.
Growers want a mandatory code of conduct to help them negotiate with supermarket
s and wholesalers but the Federal Government seems to be leaning towards a volun
tary code.
Mr Newton says there is nothing wrong with a voluntary code.

"I think there are pluses and minuses in each one, but I wouldn't say that just
because a mandatory code is in place that that is going to provide 100 per cent
improvement over voluntary," he said.
Westpac predicts base metals price drops
In the mining sector the shine is coming off the price of base metals, with fore
caster Westpac predicting a 35 per cent drop by the end of the year.
Mining company Consolidated Minerals is blaming a major slump in the price of ma
nganese for a $6 million loss posted yesterday.
Commodity strategist Tobin Gorey says base metal prices are closely aligned to t
he US economy, which is starting to show signs of slowing down.
"It's been about a consumer spending boom, they've spent a lot of money on a lot
of different things, especially houses and so on," he said.
"Those consumers in their houses and in their cars and stuff too, use up a lot o
f metals, particularly copper and so on, and if that demand slows as it is now,
then prices will fall."
Wool market climbs slightly
There were slight gains in the wool market this week, with only a small number o
f bales offered at sales in Sydney, Melbourne and Fremantle.
The Eastern Market Indicator finished the week at 751 cents a kilogram, up three
cents.
The best results were in Melbourne, with finer microns jumping between 10 and 30
cents.
Dubbo merino ram sales prices down
The tough conditions have been reflected at one of the nation's top merino ram s
ales, which has recorded lower average prices than last year.
The annual sale at Dubbo in central western New South Wales attracted hundreds o
f wool growers from across the country hoping to pick up a bargain.
The top price paid was just $18,000 for a local Roseville Park Stud ram, compare
d to last year's high of $43,000.
Dave Hart, from Landmark, says some breeders made the most of the keen competiti
on.
"There was a bit of pessimism around in the shed leading up to the sale," he sai
d.
"I think it was a great value for money sale for stud and commercial growers, th
at will tend to happen, they are the rams that the smarter commercial growers wi
ll come here and pick up.
Murray River winter flows at record low
The Murray River has had its lowest winter flows on record due to the dry condit
ions across the Murray Darling Basin.
In a normal year almost 4,000 gigalitres of water flows down the system, but thi
s year only about 400 gigalitres was recorded.
Trevor Jacobs, from River Murray Water, says New South Wales irrigators will be
most affected.
"Very limited water availability to New South Wales in particular," he said.
Australia endures driest August since 1900
On this first day of spring there is little surprise at news Australia has endur
ed its driest August since records began in 1900.
Preliminary figures show a national average rainfall of just 6.87 millimetres fo
r August.
Overall, an average of 43.9 millimetres of rain fell across Australia during the
winter.
Senior climatologist at the Bureau of Meteorology, Dr Andrew Watkins, says it ha
s been decades since rain was so scarce.
"Australia-wide we only averaged about 6.2 millimetres for the month, so a very
dry month," he said.

"Our previous driest Augusts were in 1914 and unfortunately 1982 is also a compa
rison - it had about 7.5 millimetres.
Alpacas killed in dog attack
Police are appealing for public help after four alpacas were killed in a dog att
ack at Yea in Central Victoria.
The Alpacas were worth about $100,000 each.
Scientists to tackle ocean census
In a bid to measure the impact of the fishing industry scientists have decided t
o count every living thing in the ocean.
The world's first ocean census is under way and when it is finished in 2010 it w
ill be used to help regulate the fishing industry.
Senior scientist on the project Ron O'Dor says identifying every ocean species i
s proving tough for some researchers.
"They were two and a half kilometres down in the water column on the end of a li
ne chasing this octopus with a slurp gun that goes 'slurp' and sucks the animal
in and then brings it back alive," he said.
NT's Vatskalis replaced by newcomer Natt
The Northern Territory has a new Primary Industries, Fisheries, Mines and Energy
Minister.
In a ministerial reshuffle caused by the resignation of health minister Peter To
yne, the portfolio has gone to newcomer Chris Natt.
One of his first jobs as Minister will be to be decide on the controversial McAr
thur River Mine expansion.
However outgoing mines minister Kon Vatskalis, who has been promoted to Business
, Economic and Regional Development, says Mr Natt's inexperience might actually
be an advantage.
"Working to a portfolio that you know nothing [about], it gives you the opportun
ity to actually develop," he said.
"It gives you the opportunity to do something different.
Middle East chefs go on Aussie culinary tour
Top chefs and food buyers from the Middle East will tour Australia this month, s
earching for the best local produce.
The ten-day visit will take in fresh markets and food producing companies in fou
r states.
Marketing company Australian Quality Plus hopes to increase sales of meat and se
afood to the region as well as introducing new products like dairy.
Managing director Steve Marafiote says Australian products have gained a reputat
ion in the Middle East for their quality and sustainable supply.
"We've really tried to show the higher end, high-quality products that are avail
able out of Australia - show those benefits that are available," he said.
Gold production hits lowest level in a decade
Despite record high prices this year, gold production in Australia has dropped t
o its lowest level in 10 years.
The latest figures show a fall to 251 tonnes of gold during the past financial y
ear.
Sandra Close from consultants Surbiton Associates says bad weather during the Ma
rch quarter is largely to blame, while a lack of exploration is also a problem.
"Since the late '90s exploration for gold has gone from about 60 per cent of tot
al mineral exploration expenditure down to around 30 per cent of total mineral e
xploration expenditure," she said.
Biofuel industry unviable without Govt support, says expert
A new report has confirmed calls by the renewable energy sector for more support
from the Federal Government.
The report from Rabobank, a leading agribusiness bank, says a serious biofuels i

ndustry is unviable unless there is a long-term policy commitment.

Spokeswoman Ingrid Richardson says ethanol and biodiesel production will not be
economical unless there are Government mandates.
"My report looks at what's happened in the US, what's happened in Brazil, what's
happened in Europe and basically all the support there is very long term," she
said.
Cattle producers urged to put off slaughter
Cattle producers and dairy farmers facing the prospect of another drought in Vic
toria are being urged to "park" their cows rather than send them to slaughter.
The livestock saleyards have been packed with cheap cows and steers, as dry weat
her and low water allocations hit feed supplies.
Doug Chant from United Dairy Farmers of Victoria says agistment schemes have bee
n vital during previous droughts.
"Their only other option is to sell cows to go to slaughter and one of the conce
rns is that it takes so long to rebuild herds," he said.
Beattie's reaction to frozen bananas 'outrageous'
Queensland Premier Peter Beattie has been accused of using concern over processe
d banana imports to boost his state election campaign.
Voters go to the polls on Saturday.
Mr Beattie says the Federal Government has broken its promise not to allow banan
a imports while Queensland growers recover from Cyclone Larry.
Eleven tonnes of cooked frozen banana pulp from Vietnam has been brought in for
use by food manufacturers.
Federal Agriculture Minister Peter McGauran says the local industry is not threa
tened in any way.
"It's outrageous that the Premier would seize on this and create a quarantine sc
are when none exists and cause worry for many banana growers, who may not know t
he true situation," he said.
Cane growers examine damage caused by deluge
Cane farmers in north Queensland say it is too early to know the extent of damag
e from massive, unexpected rain.
While September is supposed to be the driest month in the tropics, some farmers
have received up to 665 millimetres in the Herbert River District around Ingham
over the weekend.
That is 26 inches on the imperial scale.
While farmers further south would love even a fraction of that rainfall, plant s
cientist Ron Van Kerkwyk says it has halted the sugarcane harvest, and could hav
e a disastrous impact on thousands of hectares of newly planted cane.
"Planting is the highest single operative cost you've got on a farm and it reall
y is a tragedy of some proportions when we get as much rain as we've had here at
this time of the year which, number one is fairly unusual and number two it's i
mpacted by the fact that so much of the plant cane we have got is, relatively sp
eaking, very young," he said.
In the south, where the rain is really needed, the dry conditions are starting t
o hurt South Australia's aquaculture industry.
A lack of typical winter weather means oysters are growing slower than normal, d
ue to a lack of food.
Simon Turner from Turner Aquaculture at Cowell, on the Eyre Peninsula, says with
out wind or rain, fewer nutrients are being produced in the seawater to make alg
ae, which is a major food source.
"When we have deep lows that come up from the Southern Ocean, [they] promote upw
ellings which also create algae and feed for our oysters and that's something th
at we haven't had much of at all this year," he said.
Survey suggests city dwellers in the dark about farms
A new Landcare survey shows more than 60 per cent of people living in the capita
l cities have little or no understanding of Australian farms.

It also shows that only one in three people have ever visited a farm.
Landcare commissioned the research to gauge what people know of efforts by farme
rs to improve the environment.
And chief executive Brian Scars Brick says the rural sector needs to do more to
educate those living in urban areas.
"The worrying trend of course is that for younger people, the figure went right
up to 70 per cent of people not knowing what was going on behind the farm gate,"
he said.
Sheep flock decreasing faster than expected
The Australian sheep flock is diminishing at a greater rate than orginially expe
cted, according to figures just released by Meat and Livestock Australia (MLA).
The 2006 Sheep Industry Projections show the national flock has five million she
ep fewer than previously thought, at around 100 million, due to the drought.
But overseas demand for Australian prime lamb is booming, with exports to Japan
up 30 per cent, and the Middle East market is up by 21 per cent due to strong oi
l prices.
Live exports remain steady at around 4.5 million.
MLA's chief market analyst, Peter Weeks, is warning that supply will be tighter,
because of the slow task of rebuilding.
"Over the next four years, instead of a 6 per cent a year rise in supply, it's g
oing down to about 2 per cent a year," he said.
Bellamy reflects on Irwin legacy
After the shock death of naturalist and television star Steve Irwin yesterday, t
alk is turning to the legacy the Queenslander has left behind.
The man known as the Crocodile Hunter died after being stabbed by a sting ray ba
rb as he filmed a documentary off the coast of far north Queensland.
British naturalist David Bellamy says he admired Steve Irwin's capacity to inves
t personally in the environment.
Golden spinifex could cut exploration costs
Spinifex grass might be a natural signpost to untold wealth, according to resear
ch findings in the Tanami Desert.
Scientists have discovered that spinifex plants can carry traces of gold in thei
r leaves, if they are growing above a mineral deposit.
Further research needs to be done, but mining companies say the discovery could
lead to big savings in exploration costs.
Dr Stephen Rogers from the Cooperative Research Centre for Landscape Environment
s and Mineral Exploration, says the grass is proving to be a natural metal detec
tor.
"What the plant does is because it lives in very arid regions it needs to get it
s water from the ground water so it puts the most of its energy into creating th
is huge single root that penetrates very, very deeply into the regolith, into th
e cover of the landscape to the ground water," he said.
Herb and spice group urges research levy
The Australian Herb and Spice Industry Association wants its members to back pla
ns for a levy to fund research and development.
At present, most research is done by growers and processors, with some funding m
atched by the Rural Industries and Research and Development Corporation (RIRDC).
Association chairman Robert Hayes says extra funding is needed to look at presen
t management, marketing, and finding export destinations.
"RIRDC will continue to work with us but it has been made plain and clear that t
hey will only do so for so long before the industry has to stand on its own two
feet," he said.
"Just how long that is we haven't been given any indication, but we're not going
to sit around and wait.
Vic growers plan to fight markets relocation

Victorian fruitgrowers and horticultural exporters are planning to fight plans t

o relocate one of Australia's biggest wholesale markets.
The State Government wants to relocate the markets from inner city Melbourne to
the outer northern suburbs, because it believes the existing site is too small.
But spokesman for the growers and market users, Geoff Thomas, says the new site
will be a waste of $300 million in taxpayer funding, because no one will use it.
Tariffs on Thai canned tuna, pineapple raised
Australia has imposed higher tariffs on canned tuna and pineapple from Thailand.
The level of imports of both products this year has reached the threshold to att
ract extra duty.
China accepts Aust citrus shipment
China has accepted Australia's first official shipment of citrus fruit.
A container of Queensland murcott mandarins have been sent overseas under strict
new quarantine protocols, which include on-farm inspections and cold sterilisat
ion.
In the past, fruit has entered China through Hong Kong.
Kevin Parr from Australian Citrus Growers says oranges from southern growing reg
ions have not met the new protocols so far, so mandarin growers can now capitali
se on the new export market.
"There's about 15 containers on the water at the moment that are going to arrive
over the next fortnight, and one more going today, so I think it's a total of a
bout 15-16 containers," he said.
Tandou exits wine industry
Dry conditions and the ongoing wine glut have forced a major agribusiness compan
y to leave the wine industry.
Tandou is selling its 21,000 tonne winery at Monash in South Australia's Riverla
nd, after recording a $6.1 million loss for the past financial year.
Chief executive Guy Kingwall says the company will be focusing more on its cotto
n business.
"Tandou obviously is facing significant challenges with the unprecedented drough
t area, and the flows of water in the Darling River system," he said.
Dry conditions threaten cereal crops
Ongoing dry conditions are starting to take their toll on winter cereal crops in
New South Wales.
In the state's north-west farmers are already reporting failed crops, and are tu
rning sheep and cattle into the paddocks to salvage what is left after the dry w
inter.
Ed Colless from the Special One Farmers Cooperative at Walgett, says crops plant
ed on minimal moisture are starting to wither, and without substantial rain, man
y more will end as stock feed soon.
EPA defends Burrup gas project go-ahead
The Environmental Protection Authority (EPA) in Western Australia has defended i
ts decision to approve the development of the Pluto Liquefied Natural Gas projec
t on the Burrup Peninsula.
Major oil and gas producer Woodside wants to build a processing facility on the
north-west peninsula, which houses what is believed to be the world's biggest co
llection of aboriginal rock art.
The Greens are outraged at the EPA's decision, and are calling on the state and
federal governments to block the development.
But EPA chairman Wally Cox says the project is unlikely to compromise environmen
tal or cultural objectives.
"The company has been very responsible in the way it's negotiated with the local
Indigenous people," he said.
"It's changed its proposal on the way through to accommodate any concern the Abo
riginal communities had.

Online shopping takes off as petrol prices remain high

High retail and petrol prices are believed to have contributed to a big jump in
Internet shopping in regional Australia.
ACNeilsen figures show shopping has increased by 20 per cent in the last year al
one, with almost 1.5 million country people connected to the web.
Western Queensland online shopper Janet Powne says it is more about convenience.
She lives in Bollon, which is 500 kilometres from the nearest major shopping cen
tre.
"I just started out by mainly shopping for gifts - because we don't have a selec
tion of gift stores that I can readily get to, I started investigating what's on
line and one Christmas I bought all my gifts online," she said.
Cattle, worker shortage blamed for early abattoir closure
Australia's second largest meat processor Teys Brothers is blaming a lack of cat
tle and a chronic labour shortage for its decision to close its abattoir in far
north Queensland three-and-a-half months early.
The Innisfail meatworks normally closes for the wet season in December.
One hundred and sixty workers will be affected, and chief executive Brad Teys sa
ys the company will try to relocate them to other plants, and move cattle by tra
in to southern abattoirs.
Competition policy 'hurting rural communities'
A new report says Australia's push to become internationally competitive has hur
t the economic well-being of country communities.
Research think-tank, the Australian Farm Institute, says National Competition Po
licy has affected essential services and infrastructure development in country t
owns.
Executive director Mick Keogh says a lack of decision-making at the regional lev
el, and confusion over state and federal policy, is not helping.
"Sometimes regional policy development seems to be aimed at increasing the popul
ation in rural centres, sometimes it seems to be aimed at bringing new industrie
s into regional areas, sometimes it seems to be aimed at easing congestion in ca
pital cities," he said.
"So, I think a lot of confusion exists and a lot of government packages that are
called regional development packages don't seem to have a clear objective."
Federal Minister for Transport and Regional Services, Warren Truss, says the Gov
ernment is committed to ensuring country towns have a full range of services.
But he says the Government expects regional communities to identify what they ne
ed themselves and then come forward with those projects.
Warmer seas could be affecting lobster catches
Victorian fisheries officers say rising sea temperatures could be one factor cau
sing a drop in rock lobster catches off the state's west coast.
Government monitoring programs and independent surveys have found the amount of
lobsters fishermen have been able to catch has dropped by 10 percent in two year
s.
Peter Appleford from Fisheries Victoria says it could be some time before scient
ists can establish whether it is due to environmental change, but some trends ar
e emerging.
"It's been noted that the water temperatures have been higher than normal," he s
aid.
"It's also been noted that in western Victoria there's been less frequent and we
aker cold water upwellings which affect the fishery.
Overnight rain welcome but not drought-breaking
Victorian farmers say overnight rain has given dying crops a reprieve and delaye
d decisions to sell livestock.
More than 20 millimetres has fallen across many parts of the Wimmera Mallee, a r
egion that has had no significant rain since July, and where reservoirs are at c

riticially low levels.

Farmers say this rain will not break the drought, but will keep their crops aliv
e for another couple of weeks.
"A lot of the stubble crops I think will fire up a bit - they were nearly dead,
pretty yellow, but the fallow was okay, it was just hanging on," he said.
"But mainly my stock, I can hang onto my stock.
"We can look forward I guess to two or three more weeks, then we're looking for
quite a bit more rain in the springtime to finish the crops off.
"We've had 14, it'll turn it around pretty well for a couple of weeks. It was ge
tting pretty desperate up until now.
Water market does roaring trade
The water market in southern New South Wales is doing a roaring trade, as irriga
tors try to secure extra water for winter crops.
Internet trading company Waterfind says there was a 10-fold increase in water mo
vement during August, with almost 30,000 megalitres sold in the Murray and Murru
mbidgee valleys.
Prices have peaked at $350 a megalitre, with the average price closer to $150.
Brett Tucker from Murrumbidgee Irrigation says after six years of drought some p
roducers are selling water for high prices, rather than using it themselves.
"You can't blame people for selling, there's been such a differential in the mar
kets this year that I think the Murray valley's become more attractive," he said
.
"Ultimately people need to do whatever they can to get through these sort of cir
cumstances.
Sheep producers urged to offload stock
Sheep producers in Western Australia are being urged to get rid of stock as soon
as possible, because the seasonal indicators show the season is not going to im
prove.
With ongoing dry weather, stock numbers are already down between 25 and 50 per c
ent in the northern zone, but with a lack of feed, authorities say more will hav
e to go.
Tim Wiley from the Department of Agriculture and Food says if farmers hold off t
oo much longer, they will have to shoot stock, because it will be too expensive
to get them ready for market.
"The earlier you reduce stock numbers, the less stock you'll have to get rid of,
" he said.
Wheat, barley forecasts drop due to dry conditions
The big dry has led the Emerald Group to dramatically lower its wheat and barley
forecasts.
The commodity management company is predicting a crop of 16 million tonnes of wh
eat, possibly rising to 19 million under ideal spring conditions.
Barley production is expected at six million tonnes, and a canola crop of one mi
llion tonnes.
Executive director Mike Chaseling says lower wheat and barley forecasts have had
a big impact on prices.
"It's been a spectacular rally here, basis levels have driven up relative to US
futures dramatically in the last month or so," he said.
"Barley prices are up $60 for the month, there's been a spectacular rally here.
"Barley is trading in and around $230 a tonne, port less rail, right through mos
t port zones in Eastern Australia and a bit higher in northern port zones.
AWB's Iraq scandal costs expected to surge
A new estimate predicts AWB's legal costs and fines associated with the Iraq whe
at scandal could surge to $280 million.
Sharemarket analyst Austock says possible legal action by North American farmers
and Australian shareholders, and potential fines from the Australian Tax Office
and the Australia Federal Police will affect costs.

But lawyers representing North American farmers, estimate their claim alone will
cost the wheat exporter $1 billion.
Atlanta lawyer Rodney Edmund says growers want to make AWB accountable for its a
ctions.
''We're working with lawyers in Australia. We're working with lawyers in Washing
ton DC," he said.
"Quite frankly we have lawyers in New York right now who are quite frankly ready
to take a bite into this thing and obviously the only way to go up against a gl
obal, world renowned company is to have multiple multiple resources at hand doin
g literally a wolf pack attack on this rogue company."
Farmers to reap super change rewards
Farmers are expected to be the big winners from changes to superannuation legisl
ation introduced to Federal Parliament this week by the Treasurer, Peter Costell
o.
Until next June, retiring farmers will be able to tip up to $1 million into thei
r super schemes, to make the most of tax-free payouts available to the over-60s
from July 1.
Richard Gilbert from the Investment and Financial Planning Services Association
expects to see a big shift in property.
"I think there is a general feeling around the industry I work in that there wil
l be movements of assets in order to take advantage of this," he said.
"Typically it's probably the property assets, probably the things that they'll b
e looking at are the lumpy assets that may well be moved.
"But those decisions have to be done carefully and with due judgement on the mar
ket, need to think twice if they're selling it off at a fire sale price."
But there are fears the changes could make it harder for managed investment sche
mes to attract funds.
The schemes, which include plantation timber and almond groves, have traditional
ly relied on tax breaks to attract support.
But Michael Spinks from the Institute of Chartered Accountants says investors mi
ght now top up their super instead.
"Prior to the changes a lot of investors probably saw agribusiness as a good way
of reducing their tax," he said.
Oil price drop predicted
The price of oil is predicted to drop by almost a third within the next five yea
rs.
That is the forecast Angus Walker from chartered accountants Ernst and Young del
ivered to an oil conference in Perth yesterday.
He says while the US economy is slowing down due to lower domestic spending, it
is being balanced out by the expanding economies of China and India.
Mr Walker says that will hold oil prices firm in the short term, before the mark
et corrects.
"The Chinese are expected to increase their use of oil by 156 per cent by 2030,
it is the largest increase of oil usage of any country in history," he said.
"In India, it's going to increase it's use of oil by around 124 per cent.
Mine to give Tiwi Is jobs boost
A new sand mine on the Tiwi Islands north of Darwin is set to boost employment f
or the local Aboriginal community.
Matilda Minerals will produce 200,000 tonnes of the heavy mineral concentrate, z
ircon-rutile over the next six years.
Managing director Bruce Maluish says he wants to reduce the environmental impact
of mining an island in the Torres Strait.
"The sand averages about 4 per cent heavy mineral," he said.
"The process involves mining the sand, processing it, extracting the 5 per cent
of heavy mineral and putting the sand back in the hole where it came from.
"So it's a pretty benign impact and we can be mining through areas quite quickly
at low impact, and come back and rehabilitate the land quite smartly as well."

Season's first mangoes sold for $25,000

Hundreds of greengrocers packed the Sydney Produce Markets this morning for the
annual charity auction of the season's first box of mangoes.
The 12 mangoes, from Pine Creek Plantation in the Northern Territory, sold for $
25,000, with the money to be donated to the Westmead Children's Hospital.
The buyer, Fred Piscuineri, says the hospital will also need to get the kids' cu
tlery out for a surprise dessert today.
"I think we're going to go to the Westmead Hospital like we did two years ago an
d give them to those poor kids that are in the hospital," he said.
Online dating on the rise in regions
Yesterday we heard about a boom in online shopping in regional Australia, and it
now seems that more country men and women are finding love on the web as well.
Fiona Thomas runs the online dating site Rural Romeos, and says in the past 12 m
onths there has been a 50 per cent increase in online dating.
She says access to the Internet has reduced isolation, which in the past has cau
sed loneliness and depression.
"They're pretty fair dinkum about it," she said.
"Mainly in the marriage age bracket sort of from 25 but right up to 40 - 45, tha
t may have been married and this is second time around.
Song played for Makybe Diva to make beautiful music
There is more than a touch of romance in the multi-million dollar thoroughbred b
reeding season this year in the Hunter Valley.
It is one of the region's biggest seasons, with bookings for nearly 100 proven s
tallions.
Among them, has been the highly anticipated joining of Melbourne Cup champion Ma
kybe Diva and the emerging stallion Gallileo.
And, to add that special touch, Stud manager Peter O'Brien says owner Tony Santi
c asked for the Diva's favourite song to get her in the mood.
"We had candles outside her stable, and we had Deborah Conway's It's Only the Be
ginning, was the song chosen to bring the romantic side on.
"That was seemingly her song they used to play to her in the stables.
"And we had all her colours around her stable.
WA grain growers look to the skies
Grain growers in WA's south-east who are generally enjoying a reasonable season
say they are now in need of good rain to see crops finish well.
Farmers from all over the agricultural region are gathering in Newdegate 450 kil
ometres south east of Perth, for the town's annual machinery field days.
After floods swept through the region in January, and a very late start, local f
armer Trevor de Landgrafft says farmers are now relying heavily on rain in comin
g months.
"I think the October rain's going to be the most important for the district," he
said.
River pumping allowed in Bourke
The New South Wales Government has allowed horticultural irrigators in the outba
ck community of Bourke to pump emergency water supplies out of the dwindling Dar
ling River.
The Bourke region has been suffering drought conditions for more than five years
, and irrigators are battling to keep citrus trees, grape vines and hojoba plant
s alive.
Phil Mansell from Back of Bourke Fruits says tough decision are being made about
whether to let crops die, with no guarantee of future water flows.
"We have a grape crop there that we have to now make the decision, will we have
the water to take that crop through into a harvest?" he said.
"It's a further million dollar investment to do the work to grow that crop, and
the easiest thing to do is just to turn the water off a significantly large area

of vines.
"But the financiers are facing a terrible dilemma, they are considering what doe
s that do to the community, what does it do to jobs in town et cetera?"
Feed grain users move to import
The Australian Quarantine and Inspection Service (AQIS) has confirmed that some
feed grain users are looking to import stocks for the first time since 2002.
AQIS, which approves import permits, says it has had casual discussions with use
rs, but no formal application has been lodged.
Grain is imported when Australia's supply is low and domestic prices are dearer
than international prices.
Elders general manager of grains, Phillip Pyle, says while prices are not high e
nough to justify importing yet, they have moved up rapidly in the past month.
"Prices are up pretty dramatically," he said.
NSW irrigators saved from huge tax compo bill
New South Wales irrigators who won a $100 million compensation package after los
ing access to ground water will no longer lose a big part of the money in tax.
Fourteen hundred irrigators received money to compensate them for a move to clai
m back over-allocated ground water resources.
The Federal Government had treated the payments as income, and demanded tax be p
aid.
Prime Minister John Howard has now intervened, saying the money is compensation
and should not be taxed.
But Federal Member for Gwydir, John Anderson, admits not all payments will be ta
x-free.
"If it's a pre-85 asset, which most of them would be, there's no tax," he said.
Govt working to clear 457 visa hold-ups
The Federal Government says it is trying to fix problems with the temporary skil
led migration program, which have halted visa applications since April.
Under the 457 program, skilled workers are being imported to fill labour shortag
es, particularly in the meat industry.
But visa applications have been held up, after claims some sectors of the indust
ry have breached the terms of the agreement.
Immigration Minister, Senator Amanda Vanstone, says a new labour agreement is be
ing put together, which will clearly define worker skills.
"What I think has been happening is people have been bringing in people describe
d as slaughtermen and butchers and they have been doing boning and slicing work
which is inconsistent with the visa as it's constructed now," she said.
RSPCA angry at piggery raid
An animal rights raid on a New South Wales piggery has met with anger from the R
SPCA.
The piggery near Young was raided in July, where video footage of the raid was g
athered.
The footage has only just been sent to police, with allegations about animal cru
elty surrounding sow pens.
Chief executive of the New South Wales branch of the RSPCA, Bernie Murphy, says
extremists should be stopped from entering properties.
"They go onto a property, they breach the biosecurity, they may visit great harm
on the well-being of the animals plus of course they are having an impact on pe
ople's livelihoods.
"No one would tolerate someone invading someone's house and this is similar to t
hat in a business sense.
"These people believe because they have the moral high ground in their mind, the
y can go onto properties, break the law, ignore it.
Mine company ordered to pay former exec compo
A Western Australian mining company has been ordered to pay more than $1.8 milli

on to a former senior executive, after failing to disclose a nickel discovery.

The Supreme Court of Western Australia yesterday awarded the money to Kim Riley,
a former managing director and shareholder of Jubilee Mines.
In late 1994, rival company Western Mining Corporation told Jubilee Mines it had
inadvertently found the nickel deposit on Jubilee's tenement in the northern go
ldfields.
However Jubilee Mines did not publicly provide information of the find until two
years later.
In that time, Mr Riley sold his entire holding in the company.
He says he would have been in a different position about selling the shares if h
e had known about the discovery.
"I've got mixed emotions, I am very relieved," he said.
"It was a stressful period for myself, also for my wife and children, I'm glad t
hat it's over."
Human error 'probable cause' of GM canola mix-up
Human error has been identified as the most likely cause of the genetically-modi
fied contamination of conventional canola two years ago.
Low level contamination of the commercially-grown 'grace' variety was discovered
in 2005 during routine sampling of canola exports.
A trial of GM canola was conducted in Tasmania in 1998, and a year later grace c
anola was grown on a separate site three kilometres away, but an investigation b
y the Office of the Gene Technology Regulator has found that is not how the cont
amination occured.
Alex Schaap from Tasmania's Department of Primary Industry says there is not eno
ugh evidence to provide a definite answer.
"The mystery still remains as to what the source of the contamination is," he sa
id.
"The only hypothesis left standing is some form of human error, perhaps somethin
g as simple as somebody not labelling seed bags correctly, and seed hence being
mixed."
The peak grains research body says it is continuing negotiations to try to secur
e the commercial release of genetically modified crops.
The Grains Research and Development Corporation is funding research into GM cano
la, which cannot be released to farmers because of state-imposed bans on the tec
hnology.
Chairman Terry Enright says the benefits of GM crops, such as disease tolerant w
heat and barley, need to be proven.
"We're positively working with industry and with governments in a dialogue to ma
ke sure that we overcome these issues that are there," he said.
"And we're hopeful in the long term that if crops become available and can be as
sessed on a crop by crop basis, if they demonstrate benefit to the industry, tha
t ultimately we'll be able to grow them, if that is what is required."
Meanwhile, Nufarm has bought the licence to develop and commercialise geneticall
y-modified canola.
The agribusiness company has paid $10 million for Monsanto's Roundup Ready canol
a licence and germ plasm.
Inland rail link inches forward
The Federal Government says a new inland rail network linking Brisbane and Melbo
urne will need to be built, to cope with growing freight demand on road and exis
ting rail networks.
Transport Minister Warren Truss has released a 15-month study into the project,
and says the far western sub-corridor is the top contender from four routes name
d in the report.
The project will cost more than $3 billion, and taxpayers will need to contribut
e two thirds.
The Federal Government wants the line to be in operation by 2019.
Minister Truss says there will be consultation on the best route, but one is a p
articular stand-out.

"Now that particular corridor would cost about 3.1 billion dollars to build and
achieve a transit time of just under 21 hours," he said.
Dairy industry pledges $15m to fighting fund
A new national Dairy Innovation Centre has been tasked with finding ways to comp
ete with the growing soy milk market.
Seven milk companies have pledged $15 million to the centre, which will be based
on Melbourne's outskirts.
Dairy farmers have also contributed, through the levies they pay to Dairy Austra
lia.
Chairman Andrew Donovan says the research into new milk products will help farme
rs.
"We'll be looking at protecting their price, their milk price, we live in a very
competitive environment both as a dairy industry but also dairy industry compet
ing with other food products such as soy, and so this is really a protection str
ategy," he said.
Govt under fire over delay in delivering horticulture conduct code
Labor and the Greens have attacked the Federal Government for delays in implemen
ting a code of conduct for the horticulture sector.
It has been almost 700 days since the Coalition made an election promise to intr
oduce a mandatory code to improve transparency between growers and wholesalers.
A motion put forward yesterday by the Greens in the Senate, to clarify when the
issue will be addressed, was narrowly defeated by the Coalition.
Greens Senator Christine Milne says that is a clear sign the Government is tryin
g to renege on its promise.
"It's an absolute disgrace that they are now trying to find a way to make it som
e sort of rambling voluntary code," she said.
"The Greens believe that it should be a mandatory code, that's why we moved in t
he Senate to call on the Government to fulfil their election promise and what we
're seeing is delay until after the Queensland election and I can almost bet my
bottom dollar that they will come out with some gobbledly-gook about some volunt
ary codes next week."
Agriculture Minister Peter McGauran is defending the delay.
"I realise there's great anger growing amongst many who believe that the mandato
ry code of conduct would be automatically be introduced, we're still working our
way through all of the issues," he said.
AWB in bidding war to supply wheat to Indian company
AWB is one of four companies left in a bidding war to supply 1.6 million tonnes
of milling wheat to the State Trading Company of India.
Swiss-based company, Glencore, is known to have lodged the highest tender, at 65
0,000 tonnes, with AWB offering 630,000 tonnes.
US beef exports get green light to South Korea
South Korea has agreed to readmit beef exports from the US.
Australia's share of the market has grown by 120 per cent since US beef was bann
ed in 2004, and is now worth $600 million.
Meat and Livestock Australia (MLA) says the resumption of the American beef trad
e could cut the value of our exports by more than 20 per cent.
South Korea's Agriculture Ministry has just announced that 36 US slaughterhouses
designated to handle meat for export to South Korea met required safety measure
s, clearing the last hurdle to the resumption of imports.
MLA Korean manager, Glen Feist says the Americans have had a tough time convinci
ng the Koreans to accept meat with bone chip fragment.
"The protocol is no bones, but everybody knows in our industry that from time to
time you do get bone chips on the primal cuts of beef through boning problems,
especially in the biggest US plants," he said.
Govt rejects call to dump freight equalisation scheme

The Federal Government has dismissed calls to scrap Tasmania's freight equalisat
ion scheme.
Under the scheme, Tasmanian producers receive a rebate on freight to offset the
high cost of shipping across Bass Straight.
A draft report just released by the Productivity Commission says the scheme is t
oo costly and should be phased out.
But the Government says the program will stay, a move welcomed by president of t
he Tasmanian Farmers and Graziers Association, Roger Swan.
"I think the PM has put the matter to rest for now, but I think what we do see f
rom this is that politicians of all shapes, sizes and colours understand that th
is is a vital issue for Tasmania's industry and it's an issue that we have to ke
ep certainly our finger on," he said.
US resumption of beef exports to Japan slower than expected
The US has only shipped 100 tonnes of beef to Japan, after regaining access to t
he market a month ago.
Australian dollar falls again amid low metal prices
The Australian dollar has fallen for the fourth consecutive
ow precious and base metal prices.
The price of gold has dropped to around $US616 an ounce, in
seven weeks and a far cry from the month of May when it was
The net effect is to drag down the Australian dollar, which
mineral commodity performance.

day on the back of l

the biggest drop in
trading at $US732.
is closely linked to

CSR shares plunge down by 10 pc

Shares in Australia's biggest sugar milling company have crashed almost 10 per c
ent in a day, after a downgrade in its profit forecast.
CSR Ltd produces 40 per cent of Australia's sugar from seven mills in North Quee
nsland.
The company has told the Australian Stock Exchange (ASX) that falling sugar pric
es and a wet harvest have forced it to reverse earlier predictions that earnings
would be up 10 ten per cent.
Canegrowers want mandatory levies to curb smut spread
The Queensland Canegrowers organisation wants a national mandatory grower levy t
o fund efforts to stop the spread of sugarcane smut.
The fungal disease was found almost three months ago near Childers, in Queenslan
d's south-east.
Although a proposed national cost-sharing plan has already been knocked back, th
e sugar industry says it wants a compulsory levy to raise about $9 million.
But Joe Russo from Isis Canegrowers admits there is still a lot of work to be do
ne.
"We've got to now get New South Wales canegrowers to come on board," he said.
"They've agreed in principle, we've got to get the Ord River - but the other thi
ng we've got to do is - the Federal Government now has got to put mechanisms in
place that we need to be able to strike this levy on all cane growing in the Aus
tralian sugar industry."
Agriculture research process under scrutiny
Pressure is on Australia's agricultural research and development corporations (R
DCS) to justify how they spend taxpayer dollars.
The chairs of 14 peak bodies have been meeting in Canberra this week.
Parliamentary secretary for Agriculture, Sussan Ley, wants more collaboration be
tween the agencies, and a uniform way of assessing whether their research work i
s up to scratch.
"I'm waiting for them to come back to me with that, but I certainly don't want i
t to be a long process," she said.
"I want it to be an efficient process, I want it to be realistic and I want it t
o produce answers for people who have every right to ask the question, 'are we g

etting value for money?' - it's important to recognise that governments are real
ly a major stakeholder in the RDC's.
Drought-stricken farmers disappointed with Govt response
Victorian farmers facing water shortages say are disappointed with the State Gov
ernment's latest plan to tackle the drought.
Premier Steve Bracks will head up a task force to consider how to deal with the
drought and lack of water, and has announced more funding for rural financial co
unselling services.
Mallee farmer Claire Cook has had to sell most of her sheep, and says most of he
r crops have died.
"It's a very political, very politician's response, as in, 'we'll have a look an
d we'll have a discussion about it'," she said.
"I was hoping for something a bit more practical, as in some subsidies, maybe fo
r some tanks that we're all going to have to buy in order for the water, hopeful
ly that will be carted to us, or that we'll cart ourselves.
Wool broker raises concerns about stock feed supplies
A Western Australian wool broker says talk of importing feed into Australia for
livestock has left him wondering where it is going to come from.
Desperate areas of the state received boosting rains overnight, but there is sti
ll growing concern about how stock will be fed in the coming months.
Trevor Pedlar from Primaries of WA says he has travelled through much of the sta
te recently and there is going to be a need to purchase feed to keep stock on fa
rm.
But he says the cost and availability of imported feed will be an issue.
"Things are tough in a lot of areas around the world," he said.
"Secondly would be the cost. Because you're looking at commodity prices from the
sheep industry at the moment, they're not good.
Top price ram sells for $21,000
Despite ongoing dry conditions, average prices rose to around $3,700 at yesterda
y's ram sale at the Royal Adelaide Show.
The top price ram from the Nyowee Stud at Balaklava sold for $21,000.
Peter Meyer, who brought the ram in partnership with two others, says interest f
rom South American buyers shored up the prices.
"Prices paid in the past, many years ago, when the wool industry was booming and
semen sales first started to come into vogue, probably over-valued some rams,"
he said.
Vets lobby for mandatory attendance at outback rodeos
Vets in the Northern Territory are calling for their attendance to be mandatory
at all outback rodeos.
The call was prompted after a horse stumbled and broke its leg at an event earli
er this year where a vet was not present.
However some rodeo organisers, like Rod Haines of Pine Creek, say there are not
enough vets and the cost would be prohibitive.
"The stock people up here that work these rodeos, work the stock every day and t
hey know what is ill and what's not ill and I think it's up to their judgement t
o keep it that way," he said.
"They don't want to put sick animals out there in front of the audience and it d
oesn't make the sport look good.
"If you are going to have a vet at rodeo's you would need a vet at every sport t
hat involves animals and that includes pigeon races, cane toad races, pony club,
gymkhana's, camp drafting."
The Australian Veterinary Association has spent the last two years working on a
rodeo policy that requires the attendance of a vet.
The Australian Professional Rodeo Association has a code of conduct that involve
s vets in rodeo as optional.
The NCCAW has created a national rodeo code of practice to protect the welfare o

f animals.
Farmer hopes for prosthesis for three-legged cow
You may have seen a three-legged dog or even a three-legged cat, but what about
a three-legged cow?
Tasmanian dairy farmer Geoff Heazlewood was devastated when he recently found on
e of his best cows had broken her leg after falling in a river.
It turned out amputation was the only option and he says while the is cow recove
ring well, she could do with some extra help getting around.
"I would dearly love to hear from somebody that was used to making prostheses an
d we could perhaps put a prosthesis on her," he said.
AWH renews Yennora lease
The future of wool sales in Sydney looks more secure, after a decision by Austra
lian Wool Handlers to renew its lease on the Yennora selling centre.
The new five-year agreement will take effect from July 2007, with AWH to lease t
wo thirds of the current space, including the auction rooms, administration offi
ces and the container handling area.
Industry levy vote for dairy farmers
Dairy Australia is calling for farmers to increase their support for research an
d development when an industry levy is put to the vote early next year.
Many farmers have voiced disappointment with the performance of the peak industr
y body at recent meetings to discuss the levy.
Dairy Australia's John McKew says the organisation needs to communicate better,
but says its vital investment continues.
"I would suggest that some of the concerns have been that there is probably a la
ck of understanding or appreciation from a large number of dairy farmers about w
here their dairy service levy is invested from Dairy Australia," he said.
Gold milling resumes at Pine Creek
In resources news, gold is again being milled at Pine Creek in the Northern Terr
itory, after three years.
Blasting starts today at the high grade, underground Brock's Creek mine, but GBS
Gold is already milling old stockpiles to check the machinery.
Operations manager Tom Heaton expects to initially process 1.5 million tonnes of
ore every year, recovering 150,000 ounces of gold.
"The mainstays of this operation for 10 years are two main projects, one of whic
h is Maud Creek which is the refractory material, that has a life of around abou
t ten years," he said.
Cold fronts bring rain to north WA
A series of cold fronts has brought good rains to much of Western Australia's pa
rched farming and pastoral regions.
Falls have even reached areas of the Pilbara in the state's north, not known to
receive rain at this time of year.
Further south in agricultural regions, crops and pastures have been given a heal
thy boost with falls of between 10 and 30 millimetres over drought-affected area
s of the eastern and central wheatbelt.
Mukinbudin farmer Chris Geraghty says the rain has been enough to bring some cro
ps back to life and will improve pastures.
"Feed's been pretty good early on because of the summer rain but the last few we
eks, it's starting to go off a bit," he said.
Grain harvest contractors urge drought assistance
Contract grain harvesters want the Federal Government to consider exceptional ci
rcumstances drought assistance as they go into another tough season.
The Australian Grain Harvesters Association says some contractors have seen thei
r incomes drop by 50 per cent because of a run of reduced crops in recent years.
Association president Peter Bradley says some members are offloading machinery,

while others have had equipment repossessed.

"In the last five years in particular we've been in drought in most states," he
said.
"And in Western Australia, it's the first time it's facing its worst drought, an
d there's very little crop over there at all, and the machinery companies and th
eir finance companies have been being very patient with pretty-much everybody fo
r the last five years.
Global warming faster than thought: ANU expert
A leading climate change scientist says there is a high risk temperatures are ri
sing at a more rapid rate than experts predicted five years ago.
Will Steffen from the Australian National University says increased warming of t
he earth is preventing the land's natural absorption of carbon and that is enhan
cing the problem.
He says the last major international climate outlook paper predicted temperature
s would rise by between 2 and 2.5 degrees by the end of the century.
Timber industry opposes tax break changes
The timber industry wants the Federal Government to reject the latest push to sc
ale back tax breaks for managed investment schemes.
Assistant Treasurer Peter Dutton is believed to be pushing for a cap on tax dedu
ctions for investors in timber plantations.
Currently investors in the forestry sector receive a 100 per cent tax deduction,
available during the first year they contribute.
Andrew White from Forest Enterprises Australia says the industry opposes any cha
nges.
"If it falls within the general framework that we're aware of I don't think ther
e will be any surprises," he said.
Agforce chief expresses Qld vote concerns
Queensland's rural leaders have expressed disappointment with the Beattie Govern
ment's big win at the weekend's state election.
Despite the double crisis confronting Queensland's health system and water suppl
y, Peter Beattie has won 59 seats, a huge majority of 33 in the 89-member Parlia
ment.
The blood-letting is under way in the Opposition parties, with National Party le
ader Lawrence Springborg possibly to be replaced by his deputy Jeff Seeney.
Afgorce CEO Brett de Hayr says many people in the rural sector would have liked
to have seen a more balanced Parliament elected.
"It just showed that people probably thought Labor was the less worse option on
the day," he said.
"I don't think there were any resounding signs of support for anyone in this cam
paign."
S Korea lifts US beef ban
The US beef industry is hoping to make big inroads into South Korea, in the wake
of a decision to lift a two-and-a-half year export ban.
Meat and Livestock Australia has already warned that the value of Australian bee
f exports could fall by up to 20 per cent.
While struggling to regain market share in Japan, the National Cattlemen's Beef
Association (NCBA) expects an easier time in Korea.
NCBA trade adviser Greg Doud calls Korea a "very different situation" to Japan,
which turned largely to Australian beef after mad cow disease was first found in
the US.
"Korea had over a year's worth of US beef in frozen storage, after December the
23rd, 2003," he said.
"And they kept right on moving through that product.
"What we've consistently heard in Korea, is the fact that, once those restaurant
s and retailers ran out of US beef, they were clamouring for the stuff."

Demand grows for environmentally friendly export meat

Pressure is growing for sheep farmers to demonstrate their green credentials, pa
rticularly to export markets.
New research in the lamb industry has found demand for environmentally friendly
meat is higher overseas than locally.
Sheepmeat researcher with the Department of Primary Industries in Victoria, Nick
Linden, says surveys found a growing number of shoppers want to know whether a
farm is environmentally accredited.
"We certainly had a stronger response that there were more market opportunities
at the moment today in the export market than there was in the domestic markets,
" he said.
PETA takes live export fight to Middle East
The animal rights group, People for the Ethical Treatment of Animals (PETA), is
targetting Middle Eastern consumers in its latest campaign against Australia's l
ive export trade.
The US-based group is paying for newspaper advertisements in Jordan, Kuwait and
member nations of the United Arab Emirates, highlighting conditions on board shi
ps used to transport sheep to the region.
PETA spokeswoman Maya Linden says the group wants to pressure the Australian Gov
ernment to stop the trade, and hopes to influence lamb consumers in the Middle E
ast as well.
"More and more Muslims are telling us that these things that are happening to th
e sheep are not only horribly cruel, but they also violate Islamic principles an
d are not Halal," she said.
Fruit, veg code of conduct plans revealed
The Federal Government has unveiled plans for a voluntary code of conduct for th
e fruit and vegetable industry.
Growers wanted a mandatory code, which was originally promised by the Government
before the last election.
The Government says the new code will be legally enforceable, and provide transp
arency to growers.
But John Roach from grower group Ausveg, is disappointed.
"I think the underpinning side of all this is good business practice and one of
the things about the mandatory code, as originally proposed, was that it would b
e about good business practice," he said.
"Any watering down of that is a concern, however if this is the way forward then
we give it a damn good shot, as an outcome, hopefully other people will bring t
he same goodwill to the table."
Growers and wholesalers will meet later this week to begin work on the code, wit
h a draft expected by November.
But Federal Industry Minister, Ian Macfarlane, says a mandatory code would have
been too onerous.
Iron ore ship runs aground in Port Hedland
An iron ore ship has run aground at Australia's largest tonnage port at Port Hed
land in WA's Pilbara region.
The 290-metre long vessel "Creciente" ran aground after breaking its moorings wh
ile loading ore in the early hours of this morning.
Port Hedland resident Vic Watson says tidal conditions are creating problems for
the full carrier.
"It was like a big bang woke us up, like someone belting a big empty drum with a
sledge hammer," he said.
"And then there was lots of pushing and pulling with tugs and then the next thin
g they actually pulled the ship back probably three of four hundred metres into
the harbour.
"Then the next thing they brought it back out to where it is now where it's stop
ped.

Top WA property 'Grange' changes hands

One of Western Australia's top properties has been sold for between $20 million
and $30 million.
The 10,000 acre Grange, at Dongara on the west coast, dates back to 1853, and wa
s most recently owned by the late construction giant John Roberts and his family
.
Real estate agent Stephen Vaughan says there was big interest in the merino shee
p stud, which was eventually sold to the Stoney family, which has extensive hold
ings elsewhere in the state.
"It certainly went somewhere between 20 and 30 million," he said.
"We're dealing with a property that's fairly special and in Western Australian t
erms it's probably up there in the top 10 per cent of general farming.
Indigenous rangers push for sea rights
A push for Indigenous sea rights is growing in the Northern Territory.
Charged with caring for their traditional lands, some Indigenous ranger groups a
re now asking for authority over their saltwater country.
Grace Daniels is with the Ngukurr Rangers near the Gulf of Carpentaria and says
they want the right to stop over-fishing and illegal fishing.
"We know our land more than the European," he said.
"We know what's in the sea and what's in the land. It's very hard for us to make
people understand that's our land.
Tas restaurateurs struggle to buy local fish
Tasmanian restaurants are finding it hard to buy local fish, with high operating
costs forcing vessels out of the industry.
Fishermen are now choosing to sell the smaller catch to mainland markets at a pr
emium price, rather than supply local restaurants.
And with more fishermen preparing to leave the sector under a Federal Government
licence buy-back, Will Mure from Mure's Fishing in Hobart says the trend will c
ontinue.
"I guess it's just coming terms with the fact that the fishing industry is going
through some fairly serious changes right now and that the price of local quali
ty produce, you'll have to pay a premium price for it," he said.
Dollar strength threatens asparagus viability
The high Australian dollar is threatening to force even more asparagus growers o
ut of business this harvest.
Asparagus is sold into the key Japanese market in yen, meaning that as the value
of the Australian dollar strengthens, growers are getting less and less money f
or the same amount of produce.
Sean Lembrey from Australia's largest asparagus exporter Momack Produce says an
asparagus glut here in Australia is not out of the question.
"At the moment it's profitable right now but we are at the very beginning of our
season," he said.
Dry conditions prompt early fire work
Forestry companies in South Australia have started fire prevention work nearly a
month early, due to the dry conditions.
Forestry SA, which manages around 130 hectares of softwood plantations and nativ
e forest, has begun work on firebreaks, cleared internal tracks and trained extr
a crew.
Spokesman Rick Underdown says the potential for bush fires is extremely high, es
pecially in the native forests.
"We are particularly worried about that because low rainfall means that the soil
s are still relatively dry and the fuels in the native forests, that's the litte
r on the ground and the dead matter just above that, dries out at the same rate
as the soils," he said.
Bushfires damage NT mango crops

Bushfires have damaged almost ripe mangoes on up to 10 orchards near Darwin, in

the Northern Territory.
More than 50 volunteers have been battling the fires across 30 square kilometres
in the Darwin River area, south of the territory capital.
With the mango harvest only a few weeks away, senior fire control officer Andrew
Turner says the property loss could have been prevented.
"Fire has covered about 110 blocks to date, many of them haven't had any sort of
fire planning put in place at all," he said.
"With the grasses, they really need to be managed and many of the land holders o
ut there aren't managing sufficiently.
"Hopefully this event and the coverage that it has got will encourage people to
do the right thing and ensure they have a good and solid plan.
"Certainly there is slashing and mowing that can certainly carry on."
Water policy 'ignores climate change'
A Senate committee says current government policies to regulate water have not c
onsidered the impact of climate change on future water availability.
The Rural Affairs Committee is investigating how Australia accounts for its wate
r use and allocation.
Its interim report says changing rainfall and temperatures are not reflected in
policy initiatives.
Committee chair, Greens Senator Rachel Siewert, says submissions to the inquiry
show alarming trends.
"It appears to us that the impact of climate change on rainfall and subsequent w
ater supplies has not been adequately accounted for," she said.
Beef industry worried at US 'grain-fed' labelling plans
Meat and Livestock Australia (MLA) is worried at US plans to allow beef from cat
tle that have spent time in feedlots and eaten grain, to be labelled "grass-fed"
.
MLA regional manager Michelle Gorman says Australia prides itself on being a lea
der in grass-fed beef.
Ms Gorman says USDA must remember the consumer when it rewrites the rules on gra
ss-fed labelling.
"There are people that are interested in how the animal has been raised ... and
we have many other product categories here, whether it's natural, organic, grain
-fed," she said.
"It's just another product in the range and there needs to be some accuracy in t
he type, how the product was and then, how it's labelled."
Ms Gorman says sales of Australian beef cuts in North America are growing month
on month, and the grass-fed label is working.
Commodities boom 'going strong' despite prices
The price of oil has hit a five-month low, and gold has tumbled below $US600 an
ounce, but one market analyst rejects claims the commodities boom is almost over
.
Rob Brierly from broking firm Hartleys says commodity prices have experienced mo
nths of volatility, and the current dramatic drop in prices is being driven by s
peculators.
The lower prices have dragged down the Australian sharemarket by 46 points, but
Mr Brierly is confident that a correction is just around the corner.
"We might see a couple more days of weakness, or even a week of weakness but I'm
sure it will turn around because the fundamentals are still very strong," he sa
id.
"Inventories are very low for most commodities, there's not a lot of new project
s coming on stream in the near term and demand from places like China is still v
ery, very strong."
Coalition parties at odds on fruit, veg code
The Federal Liberal and National parties appear to be on a collision course over

the proposed code of conduct for the fruit and vegetable industry.
Designed to give growers more transparency when selling their produce, Industry
Minister Ian Macfarlane says the code will not be mandatory.
But Nationals Senator Ron Boswell has told reporter Shelley Lloyd that a mandato
ry version remains on the table, as originally promised before the 2004 election
.
"It was an election commitment that I campaigned on, it was an election commitme
nt that was in an official policy document," he said.
"I'm saying, a mandatory code was a commitment that we gave at the election and
that's a commitment they expect to be honoured."
A spokeswoman for Minister Macfarlane says the code will be enforceable, and del
iver the same benefits, without costing millions of dollars required to implemen
t a mandatory system.
She says a mandatory code was not Coalition policy at the last election.
The National Farmers Federation (NFF) says it will walk away from this week's ta
lks on developing the new code, if its requirements are not met.
Growers and wholesalers will meet in Canberra on Thursday to thrash out the deta
ils.
NFF vice-president Charles Burke says the code needs to force wholesalers to pro
vide more information to growers during price negotiations, improve contracts, a
nd include a dispute resolution process.
"What guarantee do we have as producers that this process is going to lead to an
outcome?" he said.
"Because we've just participated in the one that didn't.
Hi-tech quarantine lab set up in Darwin
Suspect plant diseases and insects gathered across northern Australia and Asia w
ill now be checked in new secure hi-tech laboratories in Darwin.
More than $3 million has been spent creating the Australian Quarantine and Inspe
ction Service's new headquarters.
Plant pathologist Jane Ray says the upgrade includes filter systems to ensure th
at no material escapes or hitchhikes on staff.
"This facility is specifically designed to handle pathogens of quarantine concer
n like citrus canker for example," she said.
"Citrus canker could be worked on in the bio-hazard cabinet, which would enable
the pathogen to be contained within the cabinet.
"The negative pressure and the procedures and protocols in place would prevent t
he escape of this pathogen.
"We could actually diagnose it here, rapidly and move for eradication, rather th
an actually delaying diagnosis as well."
Another hi-tech quarantine lab is due to be constructed in Cairns, North Queensl
and.
Dorper sheep sale sets record price
Sheep that can produce both wool and meat are becoming increasingly popular, wit
h a South Australian dorper ram fetching the top price of $41,000 at the breed's
national sale yesterday.
That is a long way above the top price of $18,000 paid for a merino ram at a maj
or sale just weeks ago.
Buyers and sellers from WA, South Australia and Queensland attended the sale at
Dubbo, in central western New South Wales, and Paul Jamieson from Elders says th
ere was an almost 100 per cent clearance rate for the 120 rams offered.
Lindemans to include foreign wine
The Foster's Group says it will sell South African and Chilean wine under its Li
ndemans brand, which has traditionally been exclusively Australian.
The beverage giant says it is a result of research in key export markets, which
shows shoppers buy wine because it is good value for money, rather than its orig
in.
But some in the local industry says the Foster's research undermines efforts bei

ng made to market wine under the "Wine Australia" banner.

Mike Stone from Murray Valley Winegrowers says the move should serve as a warnin
g for wine grape producers.
"How long before we have major Australian wine companies simply buying grapes fr
om the cheapest source?" he said.
"Does it mean that even in a few years' time that Australian wine grape growers
will be in competition with growers from other countries?
Farmers threaten legal action over SA pulp mill plans
Local farmers are threatening legal action to halt the development of a pulp mil
l near Penola in South Australia.
The $650 million mill won conditional approval yesterday, but still needs final
Federal Government consent.
But the local landholder opposition group, the No Pulp Mill Alliance, says the d
evelopment will lower water tables and increase air pollution.
Spokesman Duan Butler says the group is prepared for a fight.
"We've been saying all along that we would go as far as we had to go," he said.
Grain traders question AWB pricing
The latest world crop forecast out of the US has local grain traders questioning
why exporter AWB is not offering Australian wheat growers a lot more for their
grain this season.
While there is little change to the North American crop outlook, the United Stat
es Department of Agriculture has downgraded its estimate of Australia's wheat cr
op to 19.5 million tonnes.
With supply tighter, and improving overseas grain prices, commodity trader Tony
Smith says growers want to know why AWB is not offering higher national pool pri
ces.
"We don't think the AWB's doing the wrong thing if they're being conservative, b
y any stretch of the imagination, but I think there's a lot of growers out there
now thinking, well do I put it in the pool, I'm going to have some real cash fl
ow problems this year, or do I sell for cash?" he said.
"They probably just need to be given a little bit more information than they nor
mally would.
"If the AWB is being conservative by five or so bucks a tonne, then growers won'
t have a problem with that. But I think they just need to come out and say it."
Murray irrigators face water price hike
River Murray irrigators in South Australia are paying up to four times more for
water, as the dry conditions continue across the Murray Darling Basin.
Temporary water prices have reached an average of $165 a megalitre this month that's an increase from $44 a megalitre recorded this time last year.
These prices have not been seen since restrictions were first imposed in South A
ustralia four years ago.
Low commodity prices and dry conditions have also seen irrigators sell their wat
er entitlements earlier than usual.
Farmers back Wimmera water decision
Farmers have welcomed a decision by the Victorian Government to halt environment
al flows down rivers in the Wimmera region.
With water storages at critical levels, the government says the water earmarked
for the environment will be reserved for emergencies including fire fighting.
Colin Coates from the Victorian Farmers Federation's Drought Committee,
is worried about how quickly fire brigades will be able to get hold of it.
"It's a long way on a hot northerly day to cart water out this area, so that is
a big concern," he said.
Pacific seasonal workers move criticised
A new report condemns the push to import workers from the Pacific to fill season
al labour shortages.

The think tank Centre for Independent Studies says migration would delay the Pac
ific region's attempt to address its economic problems.
Instead it wants welfare changes, to encourage Aboriginals and the long-term une
mployed into the workforce.
Milton James from Cape York Partnerships employs Aboriginal people from the regi
on to pick fruit along the Murray River.
He supports the idea, but says it is not a quick fix solution.
Analysts downplay mining share price 'correction'
With shares in major mining companies continuing to nosedive, some analysts say
the stock market is witnessing an overdue correction.
Prices for metals including copper, iron ore, nickel and zinc have dramatically
fallen in recent days, dragging down shares in companies like BHP, Rio Tinto, Wo
odside and Zinifex.
Stocks analyst Peter Stracken says the weakening US economy is partly to blame,
but market sentiment is also settling to a much more sustainable level.
Mr Stracken says while miners are being hit with higher production costs, their
stocks are fundamentally sound.
"It has been pretty well a free-fall when you get Zinifex falling 10 per cent ye
sterday in one day," he said.
"You know, when you look at the longer term share price chart, BHP has come from
like, $12 or $18 to $30, so now it's back at $26.
"If you bought in the last 6 months or so you're not looking so good but if you
bought 3 years ago you're still going to double your money."
Meanwhile new figures from the Bureau of Statistics show export earnings from th
e minerals energy sector jumped 32 per cent during 2005-06 to a record $90.5 bil
lion.
Veg industry outlines growth plans
The vegetable industry will aim to double the value of its fresh, processed and
packaged vegetables by 2020.
A strategic plan for the industry has been launched this morning in Canberra, ju
st over a year after farmers rallied on the lawns of Parliament House to complai
n about the impact of cheap imports on their farm businesses.
Tasmanian farmer and campaigner Richard Bovill says the plan aims to improve com
munication between everyone in the supply chain, from growers to consumers.
"In the past we've focussed on fixing up problems," he said.
"This strategic plan looks to opportunities and looks to investing in creating o
pportunities. We have to grow the business.
Alice locals encouraged to pull weeds for fitness
A new sporting body in Alice Springs wants to help people become fit by helping
the environment.
Enviro Sports Australia will try to encourage people to pull weeds for exercise.
President Adrian James says although it is an unusual combination, everyone is a
winner.
"One event I'd like to get started in the not too distant future is something in
some of the land around Alice, probably in the Todd River, in sections that are
heavily infested with environmental weeds," he said.
Wholesalers promise to fight mandatory fruit, veg code
Fruit and vegetable wholesalers say they will take legal action if forced to sig
n up to a mandatory code of conduct for the horticulture sector.
Prime Minister John Howard has now flagged the possibility of making the code ma
ndatory, after fierce opposition from the Nationals and farmers to a proposed vo
luntary code.
Grower groups and market representatives will meet in Canberra tomorrow to debat
e the proposal.
But spokesman for the Central Markets Association, Andrew Young, says wholesaler
s will not be forced into a mandatory system.

"The wholesaling sector has continued to take the position that they wouldn't su
pport a mandatory code, and in fact has questioned whether it would be able to b
e lawfully imposed upon just one sector of the industry," he said.
Whey extract to help cancer patients
A South Australian company has developed a method of using milk to relieve the s
ide-effects of cancer treatment.
An extract from whey, a by-product of cheese-making, has been identified as a po
tential mouthwash treatment for mouth ulcers which affect around 40 per cent of
cancer patients.
Dr Leanna Read from Adelaide-based TGR BioSciences says the product is close to
being available for cancer patients.
"We've just entered what's called a phase two clinical trial and that's an impor
tant clinical trial which actually will we hope give us definitive evidence that
this material really does work," she said.
"We may not require any further clinical trials after that to take it to market.
Victoria joins MIS tax fight
The Victorian Government has joined the fight to save tax incentives for managed
investment schemes (MIS).
The Federal Government is considering a crack down on the tax breaks, which allo
w investors to claim 100 per cent tax relief from projects like timber plantatio
n developments.
Victorian Regional Development Minister John Brumby says the Federal Government
needs to consult with stakeholders and clearly outline the proposed changes befo
re pushing through new legislation.
"We've seen something like $321 million invested in Victoria over the past four
years," he said.
AWB rejects grain analysts' price claims
Wheat exporter AWB has rejected claims prices being offered to growers for their
wheat are not high enough.
Grain analysts believe national pool prices should be at least $10 dollars a ton
ne higher because of stronger global prices and small crop forecasts.
But AWB pool manager David Johnson says returns are at a fair level.
"They're not so low, we believe. I mean obviously the pool return at this point
in time is forecasting prices out to 2007," he said.
"We haven't changed our pricing methodology at all, we are pricing as we normall
y do.
"We are always vigilant in trying to make our pool return as relevant to the mar
ket place as possible."
Drought impact
Meanwhile as the grain industry struggles to produce a winter cereal crop, new d
ata shows the impact the drought has had on the value of agricultural commoditie
s.
The Bureau of Statistics has released its farm commodity figures for 2004-05, wh
ich show a $1.4 billion fall in the value of agriculture.
Analyst Nigel Gibson says they show that a drop in production and prices for win
ter grains was a key contributor.
"The main cause of that was the drop in the value of crops, which fell by 13 per
cent to $17.8 billion," he said.
Lower cotton production forecast
The United States Department of Agriculture is predicting higher demand and lowe
r production of cotton around the world over the next 12 months.
That could result in better prices for Australian cotton growers, with global st
ocks forecast to be down 1.5 million bales by the end of July next year.
Australian farmers are about to start planting their next crop, but Cliff White
from Queensland Cotton says they still need to be cautious.

"[The] next few weeks is relatively crucial as the northern hemisphere crop come
s off," he said.
"The big players of the US, China, and India ... what happens there will very mu
ch determine how the price goes, but with the numbers that we have just gone thr
ough, that draw down in stock, there is a little bit more potential than we have
seen in the last marketing year."
Wheat virus spreads
The destructive wheat streak mosaic virus is rapidly spreading across Western Au
stralia.
Western Australia's Department of Agriculture banned wheat imports from the east
ern states earlier this year to try to stop the disease entering the state.
That ban was lifted when it was discovered after the virus was found in a commer
cial crop.
Department spokesman Roger Jones says for the first time, the virus is now being
found in crops across the wheatbelt.
"It is a very serious disease if there's widespread infection with the virus in
young plants, young wheat plants," he said.
Gwydir to disappear in boundary redistribution
A big campaign in New South Wales to stop the abolition of the federal seat of G
wydir has failed.
The seat, currently held by former deputy prime minister John Anderson, will dis
appear at the next election under the latest boundary redistribution.
Queensland will gain a seat due to a population drift across the border.
Federal Member for Parkes John Cobb says his seat will be a more manageable size
, but it will be harder for the MPs in the much bigger seats of Calare and Farre
r to service their communities.
"They've put Tibooburra virtually in the same state as one that runs almost to t
he south coast or Mt Kosciuszko," he said.
"It is a little puzzling. The far west of New South Wales and Gwydir have been d
isenfranchised.
Sunbeam Foods recalls products
Australia's largest producer of dried fruit, Sunbeam Foods, has begun a voluntar
y recall of 12 products.
The company is investigating how metal made its way into a packet of dates manuf
actured at the Angaston factory in South Australia.
China buys into future uranium mine
Just months after signing an export agreement with the Australian Government, Ch
ina has bought into a future uranium mine in South Australia.
The Crocker-Well uranium field, 100 kilometres west of Broken Hill, will be deve
loped and operated by the state-owned Sinosteel Corporation, and Australian expl
oration company PepinNini.
Sinosteel will pump $30 million into the project, which could mean the developme
nt of a fifth uranium mine in South Australia.
The joint venture is yet to be approved by the Foreign Investment Review Board,
but PepinNini director Rebecca Holland-Kennedy says the company expects to get t
he go ahead.
Talks aimed at resolving horticultural industry code of conduct dispute
Talks are under way in Canberra between growers and wholesalers aimed at resolvi
ng the bitter dispute over a code of conduct for the horticultural industry.
Prime Minister John Howard has agreed to a mandatory system, if a voluntary prop
osal put up by the Government at today's meeting is rejected.
The key sticking points involve a clear definition of who is an agent and who is
a wholesaler, enforceable transparent contracts and a dispute resolution proces
s.

Dry winter forces record yarding

The dry seasonal conditions are forcing record numbers of sheep and lambs onto t
he market in southern New South Wales.
More than 60,000 head are being offloaded in Wagga today.
The Wagga saleyards is bursting at the seams with a record yarding of almost 40,
000 lambs and more than 20,000 sheep.
President of the Wagga Livestock Selling Association Peter Cabot says it has bee
n a dry winter and unless it rains soon the sell off will continue.
"We're seeing a lot of the pastures die and people are now realising they've got
six months of summer and they're probably looking at March or April to feed she
ep.
Wool supporters confident about marketing campaign
The backers of a new $8 million campaign to market Australian wool in the US say
they are confident it will not be hijacked by animal rights groups.
A lucrative deal between Italian fashion house Benetton and Australian Wool Inno
vation collapsed six weeks ago, with some laying the blame on animal welfare pro
tests against mulesing.
The campaign being launched today will test how effectively fine wool can be mar
keted to women through New York fashion label Saks Fifth Avenue.
Brenda McGahan from Australian Wool Services says they have addressed the retail
er's concerns about mulesing and are confident it will not pull out.
"That's a very difficult question," he said.
NT boy elected to UN board
A young Northern Territory boy from a town of a few hundred people has been elec
ted to a board of the United Nations.
Bradley Lewis, 10, from Mataranka has been made the Asia Pacific representative
on the UN's Environment Program Junior Board.
Now responsible for organising the 2008 children's conference in Norway, Bradley
says his Aussie attire helped him to get noticed before the election, held at t
he International Children's Conference for the Environment in Malaysia.
"We didn't have to run a campaign but everyone just went around giving name card
s out and presents and that's exactly what I did," he said.
"We gave out Australian flags and little knick-knacks.
Three-legged Tasmanian cow to get prosthetic leg
Tasmania's now famous three-legged dairy cow, Theresa, looks like becoming the f
irst in Australia to have a prosthetic leg.
The heifer had one of her back legs amputated after falling down an embankment a
nd being a valuable asset, owner Geoff Heazlewood wanted to keep her.
He says the response to his call for help has been overwhelming and work has beg
un on a new prosthetic leg.
"There seems to be a lot of people interested in her welfare," he said.
Farmers' old equipment to help women in Congo
Farmers are being asked to donate old tractors and other farm machinery to help
women in the Democratic Republic of the Congo.
Civil war has cut off access to food for many people, with large numbers of wome
n and children suffering malnutrition.
Melbourne-based appeal coordinator Polydor Mutombo says church groups will distr
ibute the farm equipment to co-operatives of women, to grow maize, potatoes and
beans.
Mr Mutombo says farming will allow the women to become self-sufficient, somethin
g money and food donations cannot achieve.
"Mostly the women are looking for food to feed their families," he said.
"They are the most affected by this war because there is killing mostly of men o
r men are going into the armies.
"And it's going to help them to look to other things like if they produce that f
ood they can sell, they can pay for schooling for children.

Young farmers forum focuses on biofuel

Up to 150 young farmers are in the southern Queensland town of Goondiwindi today
to discuss their role in the future of agriculture, especially in biofuel.
With three proposed grain-derived ethanol plants planned for the Darling Downs,
young farmers gathering here today want to know how they can benefit.
Top ag commodity forecaster wraps up after 18 years
Today marks the last day on the job for the head of the nation's peak commodity
forecaster.
Brian Fisher has been director of the Australian Bureau of Agriculture and Resou
rce Economics since 1988.
He admits it has not been an easy job to forecast the vagaries of Australian agr
iculture, but says it has been important to give farmers the most up-to-date inf
ormation available.
"The facts need to be on the table - sometimes there are more or less diplomatic
ways of getting them on the table, but in the final analysis farmers need to kn
ow the facts," he said.
Wool market remains steady
The wool market continued fairly constant this week, with the benchmark eastern
market indicator closing at 753 cents a kilogram, down just two cents.
The bright spot came at the Melbourne sales, with superfine 16.5 and 17 micron w
ools gaining up to 20 cents a kilogram.
Summerfruit slashes board numbers
The peak research, development and marketing body for summer fruit growers will
cut the size of its board from 21 to 11.
The move by Summerfruit Australia is an attempt to cut costs.
Chairman Ian McAllister says the organisation's finances are low because grower
levies have not increased since 1997.
Graziers asked to keep stock off remnant native bush
The dry conditions and high cost of feeding livestock have prompted calls for li
vestock producers to resist the temptation to graze sheep and cattle on remnant
native bush.
Tim Jury from the South Australian Nature Conservation Society says even a littl
e grazing can do substantial damage.
While sympathising with drought-affected farmers, he is asking them to consider
the long term picture.
"Dry times are tough on everyone financially and a lack of green feed is no doub
t the reason why primary producers will put stock in native vegetation remnants,
" he said.
Desalination plan prompts environmental concerns
Marine biologists have concerns about a plan by mining company BHP Billiton to b
uild a water desalination plant near Whyalla on the Spencer Gulf in South Austra
lia.
The plant would turn seawater into around 120 megalitres of fresh water a day.
But Marine Science Centre spokesman Toby Bolton at Port Lincoln says it could ha
ve a major impact on the marine environment.
"This proposal is to pump 320 megalitres of water a day from the northern Spence
r Gulf and return about 200 megalitres of water to the gulf," he said.
Caution urged over fruit fly outbreak
Victorian agriculture authorities are urging residents in the state's north-east
to be careful handling fruit in the wake of the fruit fly outbreak just over th
e border.
The Department of Primary Industries has discovered the pest in the New South Wa
les border town of Mulwala.

Spokesman Bill Aschroft says fruit cannot be taken out of a 15 kilometre quarant
ine zone and measures are in place to contain the outbreak.
"People need to be aware that in all of these towns and in fact right across nor
th-eastern Victoria and the corresponding areas on the north of the river, that
they shouldn't be moving fruit around because there is a risk that fruit fly wil
l be in the fruit or associated with it," he said.
Locust plague predicted for WA
Just when Western Australian farmers thought this season could not get any worse
, authorities are worried about a locust plague.
Locust hatchings have been detected in 36 shires in the northern agricultural re
gion.
The Department of Agriculture says rainfall last week will help them to thrive.
Entomologist Kevin Walden says a large locust outbreak would have a devastating
effect on production in the west this year.
"If the outbreak is as big as what we've predicted, then it's going to be over a
large proportion," he said.
"Even the hopper can eat approximately its own body weight per day in vegetation
.
"And given when you get hopper bands that go across paddocks, basically they'll
almost clean the paddock out of all vegetation that's there."
Landmark to slash 50 jobs
One of Australia's largest wool brokers and rural services companies, Landmark,
is to axe 50 jobs across Australia as drought conditions and water shortages bit
e further into the bottom lines of agribusinesses.
Its parent company, AWB, is also reviewing costs.
Landmark says 50 staff will lose their jobs across its offices in Victoria, New
South Wales, Queensland and Western Australia.
Company spokesman Peter McBride says a high-cost base and the tough seasonal out
look has forced the company to cut 2.5 per cent of it work force, including back
office and shop staff.
"While grain, sheep and livestock are affected, merchandise, fertiliser is also
affected," he said.
"Landmark is still a very strong rural business that from time to time, just lik
e any other business, we have to make some tough decision."
Plant closure won't affect pig producers: KR Castlemaine
Smallgoods manufacturer KR Castlemaine has told Queensland pig producers it will
still need their pork, despite announcing the closure of its Toowoomba processi
ng plant.
The company's adjoining abattoir will be sold.
A total of 350 workers will be affected when processing is relocated to the comp
any's Victorian base.
KR Castlemaine president Mike Adams has promised to help those who are willing t
o move south.
He says the company will continue to slaughter up to 8,000 pigs from Queensland
producers and transport them to Victoria for processing.
"We were faced with the decision of having one modern factory in Castlemaine and
one very old factory in Toowoomba and it just did not make economic sense to tr
y and run two plants," he said.
"We'll continue purchasing pigs in Queensland now and into the future.
Growers, farmers reject code of conduct
Peak vegetable grower group AUSVEG and the National Farmers Federation
e rejected the Federal Government's proposed voluntary code of conduct
orticulture sector.
Industry Minister Ian Macfarlane outlined the proposal to provide more
ncy to the way growers sell their produce during a day-long meeting in
yesterday.

(NFF) hav
for the h
transpare
Canberra

But questions are now being asked about the number of grower representatives who
were from Queensland.
Apart from the NFF, AUSVEG and the Horticulture Council, the four other grower d
elegates all represented Queensland business interests.
National party Senator Ron Boswell, who has been a staunch supporter of a mandat
ory code for growers, believes other states were represented.
Defeated Mexican candidate declared 'president'
Tens of thousands of supporters of Mexico's defeated presidential candidate have
declared him the president of a parallel government.
Supporters of Andres Manuel Lopes Obrador made the symbolic gesture at a huge ra
lly in the main square of Mexico City.
The protesters are also planning to hold a swearing-in ceremony for Mr Obrador i
n November, just days before the inauguration of the country's official new pres
ident, Felipe Calderon.
Last week, Mexico's highest electoral court declared Mr Calderon, the conservati
ve candidate, had won the election.
Mr Obrador says the size of today's protest shows that support for his peaceful
uprising is not waning.
The rally comes on independence day, after seven weeks of peaceful protest again
st the election result.
Australian Wool Innovation CEO quits
The head of Australian Wool Innovation has quit and will leave the company by th
e end of the year.
The peak research and development body is in the process of merging with marketi
ng company, Australian Wool Services.
Chief executive Len Stephens says he came to an agreement with the board to leav
e after being informed a new CEO would be appointed for the merged company.
Japan rejects Australian buckwheat shipment
A shipment of Australian buckwheat has been rejected in Japan due to contaminati
on concerns.
Authorities say the consignment contained three times the maximum residue level
allowed for an organophospate insecticide.
Japan has tightened its restrictions on chemical residues and Geoff Brown from B
uckwheat Enterprises says all future grain imports could be affected.
"The concern I have is that normal farming practices can still produce chemical
residues that are three times in excess of what the Japanese MLR's are for certa
in chemicals," he said.
"I really think it is an issue that needs to be addressed.
APVMA considers deregistration of Short Chain Ester chemicals
The Australian Pesticides and Veterinary Medicines Authority (APVMA) will announ
ce later this week whether it plans to deregister Short Chain Ester chemicals.
The chemicals are used by farmers to control summer weeds, but in the past spray
drift has caused damage to horticulture crops.
It is believed the authority will ban their use from May 1 until August 31 each
year, but Geoff Kendell from the Victorian Farmers Federation says a nationwide
ban would be disappointing.
"Their modelling that they used was US based, they didn't look at the Australian
environment and climate," he said.
"They certainly haven't taken into consideration methodologies that we used and
the advanced new techniques that in many cases are world leading.
Business sector blames governments for water crisis
The Australian business sector has criticised the state and federal governments
for not doing enough to solve the nation's water woes.
The Business Council of Australia has released a paper which criticises the time
it is taking to implement the National Water Initiative, to establish a nationa

l water trading system.

Director of policy Maria Tarrant says delays are costing the Australian economy
billions of dollars.
"The Business Council's report really identifies that Australia's water supply s
ystem is broken and needs to be fixed," she said.
Seeney vows to fight Mary River dam construction
The new leader of the Queensland Nationals says he is determined to fight the co
nstruction of the controversial Mary River dam in the state's south-east.
Former deputy Jeff Seeney will take over from Lawrence Springborg in the wake of
the Coalition's disastrous showing at the recent state election.
He says water policy is a key area of difference between the Coalition and the G
overnment.
"The answer is to build the dams where the Government had planned to build them
for many years and where successive governments have acquired the land," he said
.
"The sites are there, but the answer is also to focus on water recycling, to rec
ycle some of the water that is still being discharged into Moreton Bay.
"Peter Beattie talks endlessly about his water grid, he hasn't laid one length o
f pipe yet, to ensure that water is recycled and the answer is also in pursuing
the emerging technologies like desalination.
Fishing industry prepares for $90m license buyback
The fishing industry is set for a major shake-up, with the Federal Government se
t to spend $90 million buying up fishing licences.
Two hundred licences will be bought back in the first round of the program, desi
gned to ease pressure on the fish stocks and the environment.
Fritz Drenkhahn from the South East Trawl Industry Fishing Association says ther
e will be major changes at most ports.
"It's the biggest change we've had in our fishery ever," he said.
"There will be restructuring on the shore facilities, the ice-maker, the mainten
ance people, more so the haulage contractor which is now going to be a big issue
for the operators left remaining actually getting their fish to market, it's qu
ite an issue.
US calls on Aust to help to restart WTO Doha Round talks
US Agriculture Secretary Mike Johanns and US Trade Ambassador Susan Schwab will
be in far north Queensland this week for the 20th anniversary summit of the Cair
ns Group.
Mr Johanns and Ms Schwab want Australia's help to restart the stalemated WTO Doh
a Round of trade talks.
Mr Johanns says Australia has the 'high ground' when it comes to free trade.
"They are free traders, they are very, very supportive of market access and so,
during the negotiations over the last couple of years, they have been right ther
e with us, doing everything they can to push the idea that tariffs need to come
down, that we need better market access, really, on a worldwide basis," he said.
And Mr Johanns says non-subsidisers Australia and New Zealand are pushing to red
uce farm subsidies as well.
Tamed NT water buffalo head to Aceh
The first shipment of trained water buffalo from the Northern Territory is being
exported to the Indonesian province of Aceh today.
To see domesticated water buffalo being lead aboard a giant live export ship at
the port of Darwin is quite unusual.
But today, buffalo, along with camels, goats and cattle, were being loaded aboar
d the Deneb Prima, which can carry 20,000 to 30,000 head.
Seven buffalo, six cows and one bull have been specially tamed and trained by Qu
eensland buffalo whisperer Graham Heffernan for remote rural villages in Aceh.
At least 30,000 working buffalo were lost in the 2004 Boxing Day tsunami, and th
ese seven will pull ploughs, carts and carry heavy loads.

Pastoralists urged to diversify for future success

A gathering of pastoralists in the Gascoyne region of Western Australia has been
told they need to diversify to shore up their future.
Pastoralists have met in Carnarvon at the third Gascoyne Muster to debate climat
e change, farm succession and how the industry will look in 2030.
Pastoralist Justin Steadman from Wooromel Station is one of those who have made
the shift, with an agriculture and horticulture business about 120 kilometres so
uth of Carnarvon.
"We can carry on doing what we're doing and with a bit of luck and change in man
agement, I believe we can do it well and it will be quite fruitful," he said.
S Kidman and Co make feedlot investment
In a bid to cope with the big dry, one of South Australia's biggest pastoral com
panies has invested in its first feedlot.
S Kidman and Co has bought Tungali, north-east of Adelaide, and plans to grain f
eed around 4,000 cattle for the Japanese market.
Chief Executive Greg Campbell says conditions led to the decision.
"Really, we finish cattle on native pastures in the channel country but there ar
e plenty of times, particularly in South Australia, properties see more droughts
than they do as you go further east ," he said.
Young farmer of the year considers using prize money for stockfeed
Tasmania's new young farmer of the year says he might have to use the prize mone
y to buy stockfeed unless it rains soon.
Heath Dobson has won $5,000 after proving himself Tasmania's best farmer under t
he age of 30.
However he says with Tasmania's continuing dry conditions he might be forced to
put the money towards feeding cattle.
"We are going to need that bit of water from the sky I think shortly - it's been
a very, very dry winter," he said.
Court orders surrender of secret AWB documents
The Federal Court has ordered AWB to surrender nearly half the bundle of 900 doc
uments it tried to keep secret from the oil-for-food inquiry.
The bitter argument over the documents has stalled the inquiry's investigations
for the past three months.
In handing down his orders, Justice Neil Young said his decision focused on thre
e issues: whether AWB had established its claim, whether that claim had been wai
ved by AWB's own internal inquiries and whether any fraud, sham or trickery had
taken place.
Justice Young said 25 of the documents before him were not legitimate communicat
ions between AWB and its lawyers.
He said a further 316 showed AWB had waived its right to keep them secret when i
t carried out Project Rose and Project Water.
The six documents presented to Justice Young involving the Tigris transaction he
described as being brought into existence for an improper and dishonest purpose
.
Justice Young added another four to this category.
Diesel users missing out as crude price drops
The price of petrol might be falling but diesel users are not seeing the benefit
s.
Oil companies are believed to be holding off on passing on the benefits of cheap
er crude oil prices, which have fallen from a high of $US77 a barrel in early Au
gust to $US64.
While unleaded petrol has fallen by up to 20 cents a litre at the pump, diesel h
as only fallen 2.2 cents a litre on average across regional Australia.
Geoff Trotter from the independent fuel monitoring group, Fueltrack, says oil co
mpanies are profiting at the expense of farmers and the transport sector.

Dry winter impacts on grain crop

The forecast for this year's grain crop has taken another big hit.
The Australian Bureau of Agriculture and Resource Economics says record low wint
er rainfall will lead to a 36 per cent drop in production to 26 million tonnes.
Queensland, Western Australia and South Australia are expected to be hardest hit
, with the canola crop tipped to be the worst in 10 years.
Barley will be down 40 per cent and Profarmer analyst Richard Koch says current
warm weather across south-eastern Australia could slice another 4 million tonnes
off the already low wheat crop.
"There's crops from about Narrabri down through Victoria that are in the balance
at the moment and would need further rain to guarantee yields," he said.
Hay exports under cloud
A 200,000 to 300,000 tonne shortfall is putting export orders for hay in jeopard
y this year.
With dry conditions, forecasts for the oaten hay crop have fallen by half, leavi
ng farmers unable to fill contract orders.
One of the country's largest export companies, Balco Australia, says it will tak
e hay made from failed wheat crops to make up the shortfall.
Marketing director Murray Smith says farmers will not make as much money, but at
least they will receive a return for their crops.
"It's probably only about $10 a tonne, mainly because a lot of the wheat is bear
ded and is not exactly what they want, but hopefully for the growers they can ge
t a bit of a yield from their crop," he said.
Drastic drop in cotton planting expected
The Australian cotton season has begun in central Queensland, although only a qu
arter of the normal area is expected to be planted.
A small band of farmers have started planting crops, relying on unused irrigatio
n water from last season, since there is no new water available this season beca
use of the drought.
Grower Hamish Miller says he is hoping for better prices, because of the lower c
rop estimate.
"I could sit here for hours and talk about the price but I think fundamentally f
rom information that I work with and receive I think the market does look like i
t will move higher in the short to medium term," he said.
Irrigators wary about Govt's water licence plans
The New South Wales Government plans to buy water licences off irrigators to hel
p meet its target for environmental flows in the Murray and Snowy Rivers.
Until now the focus has been on finding water savings, but the Government has no
w called for tenders to sell water on a permanent basis.
Conservationists have welcomed the move but irrigators in inland New South Wales
are wary.
General manager of Murray Irrigation George Warne is worried that if the Governm
ent buys the water it will push up prices or reduce access to water for irrigato
rs.
"The State Government has moved straightaway from water savings and its now just
fully trying to get into the water market," he said.
"The governments may have given up, I think they might be coming under some pres
sure to find the water savings and they've decided that a more direct approach w
orks.
River
River
years
Terry
nfall
le to

flows reach low levels

flows in Tasmania have reached their lowest levels since records began 40
ago.
Leary from the Department of Primary Industries says record low winter rai
across most of the state has also meant that many farmers have not been ab
fill farm dams.

He says it is also unusual that the dry conditions are affecting the entire stat
e, even the usually high rainfall region of the state's north-west.
Rain helps Kangaroo Is farmers
There is one part of southern Australia that seems to be faring better than most
.
Farmers on Kangaroo Island off the coast of South Australia say early winter rai
n has pulled them through.
Even though the island had its driest winter on record, Kingscote farmer Rodney
Bell says his crops are still on track and he has never seen his livestock looki
ng so good.
Livestock transport industry slams proposals to combat driver fatigue
The livestock transport industry is continuing its campaign against a draft prop
osal to crack down on driver fatigue.
Submissions have now closed on the recommendations by the National Transport Com
mission, to regulate the amount of hours drivers are allowed to work within spec
ific time frames.
George Johnston, from the Queensland Livestock Transporters Association, says th
e current proposals are unacceptable.
"We thought it was too strenuous for starters for truck drivers to understand an
d come to grips with, we thought it was just too complex, we think there is econ
omical repercussions down the track," he said.
Workers worried about redundancy entitlements
Workers at the Toowoomba processing plant of KR Castlemaine are worried they wil
l miss out on full entitlements if they look for new jobs before the plant close
s.
The company is planning to move its small goods processing operation to Victoria
, leaving 350 workers in limbo.
The company has offered to help workers wishing to relocate, but Tom Schulz from
the Bacon Factory Workers Union says until it formally notifies staff that the
plant is closing, workers who leave will not receive full redundancy entitlement
s.
"The employees haven't been technically advised they are going to be terminated,
there is no actual termination notice been given, therefore if an employee was
to leave now they would be entitled only to their accruals in the unused leave,"
he said.
International College aims to reduce skills shortage
Farmers in Victoria's Sunraysia region are hoping that an influx of overseas stu
dents will help to solve the region's skills shortage.
When it opens next month, the Mildura International College will provide horticu
lture training to 100 students from different countries, with a mixture of class
room and on-farm experience.
Campus manager Bruce Hunter says there is already plenty of support from distric
t farmers.
"We've had people quite interested in having students to learn the profession,"
he said.
Dohne merinos to be sold over web
The Internet is helping graziers in remote rangeland areas buy sheep that can co
pe with harsh, dry conditions.
With the growing popularity of the dohne merino breed, producers are about to be
gin selling livestock over the web, with 5,000 lambs from Queensland listed for
the first sale in November.
Graham Coddington from the eastern states Dohne Breeders Association says the we
b is particularly useful for farmers who are a long way from the major saleyards
.
"See there's a lot of dohnes bred a long way from the markets right up in Queens

land and western NSW," he said.

"That gives them competition for their product on their property before they (th
e sheep) leave there, without spending a cent on trucking them somewhere and str
essing them all.
"Where they just go straight to where they're destined for, whether it's feedlot
, meatworks or breeders."
Meanwhile woolbuyers from around the world will be able to bid for Australian fi
bre on the Internet.
Elders is set to move its global wool auction onto the web for the first time in
November to allow more buyers, exporters and mills to compete.
Fundraising group receives environmental award
A Western Australian fundraising group has been awarded a Golden Gecko for envir
onmental excellence after devising a method to recycle black PVC pipe from mine
sites.
It is estimated there are tens of thousands of tonnes of discarded black poly pi
pe lying around outback mining sites in WA.
Tony Fitz-Gibbon from Ruggies Recycling says the success of the project hinges o
n transport companies giving their services for free.
"The key to the actual process is the machine that goes out there can be taken o
ut on site and can chop the pipe up into a shredded size, and then we put it in
bulker bags and then it is brought back by the transport companies on free backl
oads," he said.
"In Perth, the actual material is then washed and reprocessed, and granulated, a
nd is then made into either new poly pipe.
"Also we can coat the CCA treated pine logs and make posts for vineyards and tha
t sort of thing with the recycled poly."
Mandatory horticultural code of conduct announced
The Federal Government has announced it will implement a mandatory code of condu
ct for the horticulture sector after grower groups rejected a voluntary proposal
.
Agriculture Minister Peter McGauran made the announcement in the wake of a meeti
ng last week where the National Farmers Federation and grower group AUSVEG rejec
ted a government proposal for a voluntary but legally enforceable code of conduc
t.
Designed to provide more transparency for growers when it comes to selling their
produce, wholesalers have already warned they will take legal action to prevent
a mandatory code being implemented.
The Government has flagged growers may have to foot the bill for the cost of imp
lementing the code.
Govts urged not to give up world trade fight
World farm leaders are urging governments not to give up the fight to free up wo
rld trade.
Delegates from the 18 member nations of the Cairns Group are meeting in far nort
h Queensland this week to mark the organisation's 20th anniversary.
They will attempt to find a way to revive the deadlocked Doha world trade talks,
with the European Union and the US refusing to offer more concessions to cut ta
riffs and farm subsidies.
David Crombie from the National Farmers Federation says breaking down market bar
riers is critical for Australian farmers.
"What we are looking at is a more level base where we can compete more openly,"
he said.
"We think the EU needs to open up its markets more, we think the Americans need
to take away some of their home supports and the developing countries need to ha
ve less exclusions."
Federal Trade Minister Mark Vaile has put forward a proposal to try to revive th
e trade talks this week, but it has been dismissed by the head of America's bigg
est farm group.

American Farm Bureau president Bob Stallman says despite his high regard for Mr
Vaile, he feels Mr Vaile's proposal for a 5 per cent EU tariff cut, side by side
with a $US5 billion subsidy cut is unfair.
"The 5 per cent is not much, in and of itself but if you add in the potential ef
fects of sensitive products and the percent of products there, not counting spec
ial products for developing countries, that's not going to compensate us for giv
ing up $5 billion."
Mr Stallman said Mr Vaile's plan sounds good, five and five, but that's about th
e best that could be said for it - it doesn't meet US WTO goals.
Visiting Irish Trade Minister Michael Ahern hopes the world trade talks can be p
ut back on track.
Mr Ahern says improved market access is a key issue because 90 per cent of Irela
nd's production is exported.
He says there is room to negotiate the reduction of agricultural tariffs and sub
sidies, but the United States needs to come to the party too.
AWB chief pushes for end to oil-for-food inquiry
With talk of another extension, the head of AWB says the oil-for-food inquiry ne
eds to be concluded as soon as possible, to give certainty to growers already ex
periencing one of the worst seasons on record.
Company chairman Brendan Stewart says wheat farmers have a tough harvest ahead a
nd believes the current crop estimate could fall further.
He says most growers have had enough of the inquiry and, like the AWB board, wou
ld like to see it ended as soon as possible.
"It hasn't been a pleasant experience for any of us and it obviously builds on t
he level of uncertainty in the industry," he said.
"We want to move as quickly as possible to give the growers the certainty and as
surances they're seeking in relation to the 06-07 pool and going forward.
Hot winds add to farmers' woes
Hot north-westerly winds which fanned a rash of small fires across Victoria yest
erday have also further reduced the outlook for the state's grain crops.
Temperatures have topped 32 degrees in some regions over the past few days, dryi
ng out already stressed wheat, barley and canola.
Agronomists say all of the 1.5 million hectares of crops planted in the Mallee r
egion have been affected, with farmers now looking at harvesting only a third of
average yields.
Despite a few millimetres of rain overnight, Ouyen farmer Alan Crook says there
is now almost nothing left in his paddock worth harvesting.
"We're probably looking at a desperate situation," he said.
"We had a bit of rain two weeks ago and I guess everyone had a bit of hope of ge
tting some crop.
Dry weather impacts on store sheep sales
The number of spring sales of store sheep in Western Australia has halved due to
the dry season.
While the number of sheep being sold for the meat trade has soared in recent mon
ths, the amount of sheep being offered to other graziers has dropped off.
In the next 10 days just 28,000 store sheep will be on offer in WA, compared to
nearly 170,000 for the same period last year.
Recent rain has boosted some regions, but Ian White from Elders says there is st
ill a lack of both store sheep and buyers.
"Some sheep that look like being sold a month ago, I think the rain's certainly
bought a lot of farmers a bit of breathing space," he said.
New machinery sales down
Farmers are spending less money on new machinery, with sales last financial year
down by 9 per cent to $1.6 billion.
The Tractor and Machinery Association is blaming the drought for a $150 million
fall in the sales of broadacre farming equipment.

With the Henty Machinery Field Days under way in southern New South Wales, TMA e
xecutive director Vin Delahunty expects business to be slow.
"What we've got is a situation where farmers stopped spending late last year and
really haven't started spending again and that's because they're concerned abou
t their cash flow," he said.
Dairy Farmers Co-op wins homebrand milk contract
The Dairy Farmers Co-operative has won a contract to supply homebrand milk to Co
les, Bi-Lo and Coles Express stores across Queensland.
The co-op already has contracts with Coles in South Australia and New South Wale
s.
NT farmers urged to fill out ag census forms
Northern Territory farmers have proven themselves the worst in Australia at fill
ing out the national agricultural census.
Held every five years, the census collects data on the nation's farm production.
Forms were due back in July, but so far only 60 per cent have been returned from
the Territory, compared to 80 per cent elsewhere.
Valdis Juskevics from the Australian Bureau of Statistics (ABS) says the afterma
th of cyclone Larry in north Queensland shows the value of the census.
"In the hours after the cyclone in March, Government phoned the ABS and asked wh
at did we know about the farmers in far north Queensland, as in the numbers of f
arms, the type of farms, their production," he said.
"Within hours we turned that information around from the 2001 census and the nex
t day, the Wednesday, the Government announced a recovery package for farmers."
Conservation work helping people with depression: study
A research project in Victoria has found that working with local conservation gr
oups can help people from rural communities deal with depression.
Suicide rates in regional areas are significantly higher than in the cities.
Deakin University has run a pilot project in Geelong and along the Victorian coa
st and participant Joanne Farey from Anglesea, says it has helped her.
"We did some activities like propagation, I didn't even know what that was befor
ehand," she said.
Wholesalers concerned about code of conduct exemptions
Vegetable growers are concerned that a new mandatory code of conduct for their i
ndustry does not cover supermarkets, processors or exporters.
The code is designed to provide greater transparency to growers when it comes to
selling produce.
The office of Agriculture Minister Peter McGauran has today confirmed the exempt
ions and says the code will only apply to wholesalers.
Head of the Horticulture Australia Council Kris Newton says she can not believe
it.
"That certainly hasn't been conveyed to us. We would be bitterly disappointed if
that were the outcome and it's certainly not what we're looking for," she said.
"I haven't had that information from the Minister or the Minister's office so cl
early we would need to talk with them and get a straight story about what's goin
g on."
Wholesalers say they will take legal action if supermarket chains are not forced
to comply with the mandatory code.
Andrew Young from the Central Markets Association says if the code is anti-compe
titive, they may take action through the Australian Competition and Consumer Com
mission.
He believes politics affected the decision.
"The Government had decided to work towards an enforceable voluntary code and th
en at the twelfth hour this major backflip," he said.
"So we can only speculate that the National party pursued an outcome and had the
ir way at the end of the day."
Some growers and wholesalers in the horticulture sector are questioning the need

for the code, which they fear will cost them money.
"We have some very strong relationships with our fruit and vegetable agents acro
ss Australia," Mark Boyd, general manager of Tropical Pines said.
"Those are very mature relationships and very open relationships that have been
very successful for us.
"So we'll have to wait and see the detail of the code of conduct and actually wa
it to see how it will benefit us."
"I'm probably a little bit disappointed. It is going to add cost to our business
and how we do business, it's hard to quantify exactly how much," Grant Nicholl,
wholesaler business manager with Flavorite tomato marketing said.
WTO chief warns of Aust export changes
The head of the World Trade Organisation (WTO) says Australia may have to give u
p its single-desk export systems to score a win in the Doha round of the world t
rade talks.
WTO director-general Pascal Lamy has told the Cairns Group summit in Queensland
the European Union has problems with Australia's monopoly selling systems for wh
eat, barley and sugar.
But Federal Trade Minister Mark Vaile has rejected suggestions the single desks
are used as trade barriers.
"The reality is that those that fall into that category in Australia don't have
any of those trade-distorting elements to them," he said.
"But if I could just make one other point.
Cairns Group fears time running out for reform
The 18 member nations of the Cairns Group are concerned the window of opportunit
y is closing to secure a deal to reform world farm trade.
At the end of its three day summit in far north Queensland, the group has called
on members of the World Trade Organisation to resume talks by no later than Nov
ember.
The Cairns Group represents countries that rely heavily on agricultural exports,
from Latin America to Asia, and include Australia, New Zealand, South Africa an
d Canada.
For the last few days, the group has been trying to get the Doha round of trade
talks back up and running.
The group's chairman, Australian Trade Minister Mark Vaile, says the level of am
bition has not changed and no-one, not even the US, European Union (EU) or Japan
, has hinted they might abort future discussions.
But the group is saying the major players need to be prepared to give more and e
xpect less.
Japan looks to limit FTA proposal
A proposed free-trade deal between Australia and Japan is looking shaky, with ag
riculture again the most contentious issue.
Japanese Counsel-General Tsukasa Kawada has addressed a conference at Orange, in
New South Wales, and made it clear attempts to remove trade protection for his
country's agricultural sector will be a stumbling block.
"Japanese agriculture is quite sensitive," he said.
"The Australian side hopes that we start negotiations on every agricultural prod
uct.
Monopoly questioned amid AWB probe extension
The oil-for-food inquiry has been given another two months to deliver its final
report.
Federal Attorney-General Phillip Ruddock has extended the inquiry into AWB's dea
ls with Iraq until November 24.
As a result, the Western Australian Pastoralists and Graziers Association says t
he Federal Government should make changes to legislation now to allow other comp
anies to export grain.
Spokesman Leon Bradley says the delay leaves growers, who are moving into harves

t, feeling insecure about their wheat returns from AWB.

"It leaves growers in a very difficult position for the forthcoming harvest beca
use we actually need legislative clarity because we deliver our grain," he said.
DNA tests used in cattle-duffing case
Police in Queensland have used DNA evidence to crack one of the state's biggest
cattle-duffing cases in years.
A mother and son from a north Queensland grazing family have been convicted in t
he Mackay District Court for stock theft.
The Queensland Stock Squad used DNA from the tails of 276 cattle allegedly stole
n from four north Queensland properties to trace the animals back to their origi
nal owners.
Squad spokesman Terry Hanly says although the testing cost $15,000, it was worth
it.
Prices soar at organic wool sale
Prices have soared at Australia's first organic wool sale in Melbourne, with som
e fleeces fetching up to 50 cents a kilogram more than non-organic.
Three-hundred bales of wool from South Australia, New South Wales, Victoria and
Queensland have been auctioned.
Elders spokesman Michael Blake says the difference in price was stark and more o
rganic auctions are likely to be held down the track.
"We had two of the largest buyers in Australia bidding against each other to tak
e these levels above the normal market for the type on the day," he said.
"The finer end of the wool went to 50 cents and higher above its equivalent.
"The middle microns, say 21, 21-and-a-half, it was a good 30 to 50 cents above t
he equivalent fleece types.
Flystrike plagues WA sheep
Western Australian sheep producers are battling a wave of flystrike as a result
of rain over the past month.
With growing pasture, many sheep have been switched from hand-feeding to green g
rass and the change in diet is causing widespread diarrhoea and flystrike outbre
aks.
Farmers taking on environmental reforms: survey
A new survey shows more farmers are changing their management styles to address
environmental problems.
A survey by the Australian Bureau of Agriculture and Resource Economics of 1,700
broadacre and dairy farmers shows 80 were willing to accept lower profits in so
me years to help the environment.
Economist Andrew Hodges says the number of farmers involved in Landcare has also
risen to 41 per cent since the last survey in 2001.
"Around 60 per cent of farmers reported that they had some kind of degradation i
ssue on their farm," he said.
"Farmers, once they have identified that they've got a degradation issue, are re
sponding really well to those problems.
Apple production 'set to double'
International consultants say Australia's apple industry is on track to double p
roduction in just six years.
Apple and Pear Australia has employed experts from New Zealand to oversee the pr
oject, called Future Orchards 2012.
New Zealand consultant Steve Spark has just finished touring Australia and says
the aim of producing 45 tonnes per hectare is realistic.
"The next two years is just to get growers to realise they need to intensify and
I think that has pretty much come to the fore now," he said.
"I would say, yes, they should be able to do it, if they're serious about orchar
ding.

US stint primes firefighters for summer

Fire crews are preparing for an early fire season, with several blazes flaring u
p around the country this week.
But 45 Australian and New Zealand firefighters are just returning from the front
line in the US, after spending the winter fighting fires during one of the worst
North American fire seasons in decades.
Victorian firefighter Dennis Matthews says it has helped them to be ready for th
is summer.
"It's kept them in tune and switched them on earlier than they would have switch
ed on," he said.
Community holds vigil for rain
The small community of Mono in Queensland's Burnett region is turning to prayer
in an attempt to make it rain.
The district's main water storage, Cania Dam, is at just six per cent of capacit
y after years of drought.
Local pastor Estelle Hawkins is hoping that people from all walks of life will j
oin the 24-hour prayer vigil.
"I think it is critical. I guess I hear a lot of people saying why haven't we ha
d rain, and I thought, as I read the Bible, I see there, God says, 'Your prayers
aren't being answered because you aren't asking'," she said.
"And I thought, 'Right, why shouldn't we put aside some time together?'"
MLA manager quits over hacking scandal
After almost a month-long investigation, a computer hacking scandal engulfing Me
at and Livestock Australia (MLA) has claimed its first and perhaps only scalp.
Late last month, it was revealed MLA staff members had hacked into an online pol
l on the National Livestock Identification System.
Today, the head of MLA's National Livestock Identification Unit, Christian Mulde
rs, has resigned.
Even though MLA's media statement does not name him, the ABC has confirmed Mr Mu
lders has resigned.
It is unclear whether he was directly involved in the poll tampering or has take
n the fall for others.
Disciplinary action has been taken against a number of other employees but MLA m
anaging director David Palmer has refused to be interviewed.
Australian Beef Association head Linda Hewitt, who raised the alarm over the hac
king scandal, remains deeply sceptical.
Dry weather prompts Ash Wednesday comparisons
The nation's peak fire agency is warning that the dry conditions are already as
bad as those leading up to the devastating Ash Wednesday bushfires of 1983.
Fifty bushfires broke out across New South Wales over the weekend, ringing alarm
bells for the Australasian Fire Authorities Council.
The Ash Wednesday fires in Victoria and South Australia were fuelled by hot wind
s after years of drought and killed more than 70 people.
The council's chief executive Len Foster says conditions are very similar this y
ear.
"During August nationally we've had the warmest and hottest period on record," h
e said.
"Victoria had over 200 fires last week and New South Wales have 30 or 40 fires t
oday.
"It's almost unheard of to have fires of that number and indeed that size in par
ts of Victoria as we're experiencing at the moment."
Vaile to concentrate on winning back Nationals' seats
Deputy Prime Minister Mark Vaile is defending the state of the Nationals after a
nnouncing a reshuffle to allow him to spend more time at home.
Mr Vaile will swap his Trade portfolio for Transport, with former agriculture mi
nister Warren Truss to now represent Australia in international trade talks, inc

luding attempts to restart the Doha trade talks.

Mr Vaile says his job now is to concentrate on winning back seats and delivering
improved infrastructure to rural Australia.
"What I'm doing is putting myself back on the ground in Australia on a permanent
basis to ensure we have our best opportunity at the next election to increase o
ur numbers," he said.
Push for inland rail network gathers speed
The push for an inland rail network between Melbourne and Brisbane has gathered
pace at a meeting at Parkes in central western New South Wales.
One hundred and fifty delegates from New South Wales, Queensland and Victoria ha
ve pushed the Federal Government to decide on a route.
But the Government has given no financial commitment.
There is a mix of local government and private sector players discussing ways to
make the rail route viable.
The delegates were addressed by the incoming Transport Minister and Deputy Prime
Minister Mark Vaile.
Mr Vaile told the gathering very little freight is currently carried on rail.
He blamed the Sydney bottleneck and highlighted the need to develop an alternati
ve system from Melbourne to Brisbane.
Mr Vaile did say it would take until 2019 to develop the inland rail route, even
if planning started now.
He was however short on committing to Federal Government funding to the inland r
ail route between Melbourne and Brisbane.
Tobacco growers fear for industry
Victorian tobacco growers say their industry is on its deathbed, with their main
buyer set to pull out at the end of 2008.
British American Tobacco will look to other countries for cheaper tobacco, offer
ing its 138 Australian growers a $10 million compensation package.
John Muraca from the Tobacco Co-operative of Victoria says they have been told t
heir crops are too expensive due to high labour costs.
"We've got to compete with the Third World countries of this world - your Thaila
nds, your India, Brazil and Zimbabwe and look our wages," he said.
Farmers vent frustrations at rally
Hundreds of farmers are rallying in the north-west Victorian town of Mildura to
air their frustrations at the state of the horticulture sector.
Tractors, utes, trucks and farm machinery are making their way down Mildura's ma
in street.
Horticulturalists have a range of frustrations including a lack of export market
s, battles with cheap imports and there is also concern about managed investment
schemes.
Native vegetation regulations costing graziers
A new report says native vegetation regulations in Queensland are costing some g
raziers up to a million dollars each in lost development.
The Australian Bureau of Agriculture and Resource Economics (ABARE) says the reg
ulations have cost the rural sector about $520 million all up, with southern and
western areas hardest hit.
ABARE's Lisa Elliston says graziers can not increase the carrying capacity of th
eir properties and the findings suggest land clearing laws should be more flexib
le.
"What we mean by increased flexibility is the possibility of exploring for examp
le things like tradeable development rights - that might require exploration of
whether or not we can conserve or allow agricultural development to occur in one
area if there's increased native vegetation conservation in another area," she
said.
Sheep and cattle prices slump

Prices for sheep and cattle have crashed in South Australia after massive stock
sell-offs last week.
Across many regions a lack of rain has seen pastures dry up forcing producers to
sell off livestock early in the season.
More than 100,000 sheep, lambs and cattle went through the saleyards last week,
forcing prices down.
Bruce Redpath from Southern Australian Livestock in Naracoorte has not seen pric
es so low in years.
"The biggest drop has been on cows I think, where we've seen cows fall in a week
, a hundred to a $150," he said.
Drought behind yarding increase at Hay sale
The drought is prompting sheep producers in the New South Wales Riverina to send
extra stock to the annual spring breeder sales.
The yarding for the Hay store merino sheep sale on Friday was up by 20 per cent
to almost 55,000 head.
Graham Morphett from the Hay Merino Breeders Association says prices were well d
own on last year, but held up better than expected in such a dry season.
"The whole sale there was people ready to buy sheep, there was 500 people attend
ed," he said.
Minister to lobby Govt to extend EC funding to Nullarbor pastoralists
After months of asking for support, drought-hit pastoralists on the Nullarbor ha
ve been told they will receive help in an attempt to receive federal drought rel
ief.
Western Australia's Agriculture Minister Kim Chance made a flying visit on Satur
day and told the group he will lobby the Federal Government to extend exceptiona
l circumstances (EC) funding to the area .
Peter Brown from Arubiddy Station, who hosted the visit, says many pastoralists
have been forced to sell off their sheep and cattle because of the lack of rain.
Rain lifts Tasmania's spirits
There has been very welcome rain in Tasmania to lift spirits with falls of betwe
en 10 and 30 millimetres.
The state's river levels are at their lowest since record-keeping began 40 years
ago.
The very dry southern midlands district of Tunbridge received about 30 millimetr
es, which Greg Powell says was more than some neighbouring areas.
"We'll we're probably praying a bit harder ... but no, no it's been great for th
e country," he said.
"I'm a contractor you know and a lot of farmers were putting stock on cereal cro
ps which we wouldn't end up harvesting in the finish, so it's sort of a snowball
effect.
Biosecurity plan aims to protect mango industry
A national biosecurity plan has been developed to protect the mango industry.
It will help orchards to prepare for pest and disease outbreaks.
Plant Health Australia's Lindy Hyam says the plan will also help preserve export
markets.
Bee industry insiders blamed for expensive 'sting'
Bee thieves in Tasmania are making off with thousands of insects, stealing hives
and threatening livelihoods.
This year a series of thefts has cost Tasmanian beekeepers an estimated $100,000
.
Mole Creek beekeeper Shirley Stephens has lost hives in the latest 'sting' and s
ays she suspects insiders are at work.
"A hive at the moment, if you take it to pollination, is worth anything from 80
to $100 per hive, but I'm afraid it must be from within our own industry that th
is is happening because John Smith or Joe Blow wouldn't dream of going near a be

e hive," she said.

Stations look to unmanned planes over traditional labour
Remote control aeroplanes that can monitor stock, fences and water levels are be
coming cost competitive with farm labour.
That is the finding of an MLA sponsored project being carried out by the Queensl
and Department of Primary Industries and the Kondinin Group.
The project is looking into technologies that can cut labour expenses on large c
attle stations.
Les Zeller from the Queensland DPI says unmanned planes will make light work of
everyday surveillance tasks.
Frost devastates Goulburn Valley fruit
Fruit prices could be set to rise, with one of Australia's main stone fruit grow
ing regions devastated by a severe frost.
Victoria's Goulburn Valley, which is home to the nation's largest fruit processo
r SPC Ardmona, will lose an estimated $70 million this harvest.
Ian Bolitho from Fruit Growers Victoria says up to half of the 300,000 tonnes of
fruit grown in the region has been wiped out.
"All the apricots have gone, they showing signs of starting to shrivel and drop
off now, at least 50 per cent of the plum crop is gone and probably most of the
nectarine crop, and probably 50 per cent of the peach crop," he said.
"We're just assessing on the fresh pears at the moment but they're not looking a
ll that flash either."
Growers are now asking why the weather bureau did not give them any warning of t
he Sunday night frost.
An Internet-based forecasting service was set up in 2003 after a similar frost c
aused widespread damage.
But there was no warning issued on Sunday night.
Kevin Parkyn from the bureau says that was a mistake.
"I think the system is a good one. I think it's exceptional," he said.
"Unfortunately we missed this case which doesn't look good on our track record.
"As I said it sometimes can be a very fine line particularly with such intense v
igorous windy conditions on the Sunday to have it drop out so rapidly is very un
usual."
Elsewhere, growers say they do not expect to see major increases in the price of
fruit, but believe the market will be affected.
Sympathetic Queensland grower Pat Wibaux says it is not the first time the weath
er has caused a disaster.
"It's not something that someone likes to see happen, but it occasionally does,"
he said.
Cotton growers offered refund if crop ploughed
For the first time in history, cotton growers have been offered a full refund on
their seed costs if they are forced to plough in their crop due to a lack of ra
in.
Cotton Seed Distributors has developed the drought package to entice farmers to
plant over the coming months, knowing they can recoup their costs if the season
does not improve.
Company spokesman Adam Kay says the industry needs help.
"One of the things we could do was assist those growers that are wanting to have
a little bit of a punt on things this season, putting some cotton in where they
haven't got enough water at this stage or maybe when the price isn't that good,
" he said.
Water protection effort doesn't go far enough: farmer
The Federal Government's new effort to protect water resources is being criticis
ed for not going far enough.
An Office of Water Resources will be established within the Prime Minister's dep
artment to provide and coordinate national water policy.

But Victorian farmer Mark Wootton, whose family has donated $10 million for a ne
w Climate Institute that's been launched today, says the broader issue of climat
e change needs to be addressed.
Scientist pushes for more research into NT coral reefs
There has been a call for more research into coral reefs off the Northern Territ
ory coastline.
Marine scientist Dr Victor Gomelyuk says climate change and cyclones have decima
ted some reefs in the Gulf of Carpenteria.
He says corals should be used as an early warning of destructive changes.
"The main threat is actually global temperature rising," he said.
"When sea temperature is raised above about 32 degrees it's almost lethal.
"Lots of other marine components of biota will be affected by these elevated tem
peratures and [there will be] other consequences of this elevated temperature yo
u know.
AWB lawyer quizzed about secret documents
An AWB in house lawyer has been reduced to tears at the resumption of public hea
rings of the Cole inquiry in Sydney.
Witness Jessica Lyons has been quizzed about two previously secret documents rel
eased to the inquiry by the Federal Court.
The documents from January 2003 show exchanges between Blake Dawson and Waldren'
s solicitor Hazel Brassington and Ms Lyons.
They discuss changes to the freight arrangements of two wheat contracts for the
Iraqi Grains Board.
When senior counsel assisting John Agius asked Ms Lyons who authorised the chang
e, she told the inquiry she believed it was AWB marketing executive Chris Whitwe
ll.
Earlier, Mr Whitwell and former AWB employee Michael Long made an application to
keep secret, names of two legal advice documents, claiming their publication wo
uld prejudice them and affect the conduct of any possible future jury trial.
Commissioner Cole rejected their application.
Meanwhile AWB has increased estimated pool returns for this season's wheat crop.
Growers can expected to receive between four and $10 a tonne more.
Feed grain has seen the biggest lift, due to strong local demand.
British company to takeover Perth oil exploration company
Perth-based oil exploration company Hardman Resources has agreed to a takeover b
y British-based Tullow Oil.
Tullow Oil is offering just over $2 a share for the company, which is known for
its offshore oil projects in developing countries.
Stock analyst Peter Strackensays says the offer has had a positive impact on Aus
tralian oil exploration stocks across the board.
"We've seen quite a few stocks bounce on that - Roc Oil, who shares interest in
Mauritania with Hardman and Woodside and has other interests in China and other
parts of West Africa," he said.
US calls for farm subsidies changes
US Agriculture Secretary Mike Johanns is calling for sweeping reforms to farm su
bsidies to head off a possible new challenge before the World Trade Organisation
(WTO).
But a top farm group is opposing the move, in what is shaping up to be a major f
ight over US farm policy.
Brazil has already won a WTO case against US cotton subsidies.
Now Mr Johanns says Brazil may strike again.
"What they're after is our marketing loan program and our counter cyclical progr
am," he said.
But the American Farm Bureau (AFB) and other groups say they have not heard this
and bureau trade adviser Chris Garza says his group warns against premature con
cessions.

"If we go in and make any changes to the farm Bill now we could get a WTO, in wh
ich case, countries could ask us to do more," he said.
Citrus growers hoping for better orange prices
Citrus growers are hoping a fall in the production of valencia oranges will resu
lt in better prices.
The national crop is expected to fall by 25 per cent to under 200,000 tonnes due
to frost damage earlier this year in South Australia and the Murray Valley.
In the Riverina region of New South Wales, production is tipped to be 90,000 ton
nes, down from more than 120,000 last season.
Peter Morrish from Riverina Citrus says record prices of more than $2,500 a tonn
e are being paid for imported orange juice concentrate, so local growers are in
a good bargaining position.
"There's discussions going on at the present time in terms of future contracts a
nd that's looking positive on the growers' side at this stage, but unfortunately
it's a wait and see," he said.
Miniature greenhouse trial proves effective in retaining water
Broad acre farmers in the future could find themselves using hundreds of miniatu
re greenhouses to save soil moisture and improve growth rates in their crops.
Bronwyn Laycock from the Cooperative Research Centre for Polymers says by stretc
hing clear plastic over seed-beds, growers can create an entire paddock of tiny
greenhouses.
She says so far trials have shown the technique is effective at retaining water
in dry cropping districts.
"What we're trying to do is put it down over the seed as it is sown and it traps
moisture, and traps the heat under the film like a greenhouse," she said.
"[It] gives it a better growing environment and also it means that as it is grow
ing, we're capturing all the water that's transpiring, we're capturing the water
in the soil so we get a moister soil environment.
PM hits out at Murray Darling Basin efforts
The Prime Minister, John Howard, has accused the Labor governments in the easter
n states of not doing enough to address the Murray Darling Basin's environmental
problems.
It comes as the Commonwealth sets up a new Office of Water Resources, sparking s
uggestions it is taking steps to take over control of water from the states.
But Mr Howard says he prefers to cooperate with the states.
"But it's got to be collaboration that makes progress," he said.
"I'm very unhappy with the Murray Darling Basin. I don't think we're going fast
enough, I don't think the Queensland, NSW and Victoria has the same interest as
South Australia in making progress on that issue.
"And they can't say the Commonwealth is not doing its bit, we put in an extra $5
00 million out of the last Budget which we weren't really required to."
And 3,000 farmers in Victoria's Wimmera Mallee are expected to be eligible for w
ater tank rebates this year.
As a result of the ongoing dry conditions, Grampians Wimmera Mallee Water will s
tart water carting on Monday.
Sorghum prices rise
As concerns mount about feed grain supplies across Australia, sorghum prices hav
e jumped nearly 20 per cent in a fortnight.
Sorghum is a major component of rations for cattle and pigs in feedlots.
Jim Cudmore, at Kerwee feedlot in southern Queensland, says his feed prices are
now rising exponentially and that is already influencing competitiveness in coun
tries like Japan.
"Our customers have been telling us for some time now that we are starting to lo
se our price competitiveness, in terms of product into that market," he said.
Govt rejects Goulburn Valley natural disaster calls

The Victorian Government will not be declaring the Goulburn Valley a natural dis
aster area.
Frosts ruined most of the area's stonefruit crops this week, with losses exceedi
ng 300,000 tonnes.
Growers have called on the state and federal governments to declare the region a
natural disaster area.
The Victorian Agriculture Minister, Bob Cameron, has rejected the call, but says
exceptional circumstances applications from the area will be fast-tracked.
"When it comes to longer term arrangements, the preferable arrangement is except
ional circumstances," he said.
Wesfarmers to build LNG plant
Wesfarmers is to build a $138 million liquefied natural gas (LNG) plant at Kwina
na, near Perth.
The plant will produce 175 tonnes per day of LNG for use in heavy haulage vehicl
es.
Two power stations will also be built at remote mine sites to provide energy for
those operations.
Construction of the LNG plant will begin soon and it is scheduled to be commissi
oned in early 2008.
Wesfarmers energy managing director Tim Bult says the company is confident of ex
panding operations elsewhere in Australia.
Next phase of fishing industry buyout set to begin
The next stage of the national fishing industry buyout commences tomorrow.
Fishing towns are invited to apply for a share of $40 million, to assist them if
they are affected by the buyout of 400 fishing licences.
Businesses can seek up to $100,000 each to close down or a quarter of a million
dollars to redevelop.
Federal Fisheries Minister Eric Abetz says individual businesses and communities
have until January 12 to apply for grants.
"Business that can no longer operate at all - they can apply for the business ex
it assistance, for those that say 'we can be still be viable if we can tweak our
business but we need some assistance' well we've got the business development a
ssistance," he said.
"For communities at large, come up with ideas as to how they might be able to de
velop something which will provide alternate employment then we're willing to as
sist those communities as well."
Meanwhile, the Australian Conservation Foundation has called for a worldwide ban
on the sale of patagonian toothfish.
The call comes after the New South Wales District Court fined two crew members o
f a Cambodian-registered ship more than $100,000 for illegally taking the toothf
ish.
Denise Boyd, from the Conservation Foundation, says the penalty is insufficient
and shows that the fishery can not be effectively managed.
"By shutting the fishery down and therefore having no legal product on the marke
t it basically means that any product that does turn up on the market clearly do
es come from illegal, unreported and unregulated sources," she said.
Rally to highlight wool growers' frustrations
There is growing frustration about the options being provided to wool growers du
ring the current woolpoll, with a crisis rally to be held next week in the centr
al west of New South Wales.
Producers can have a say on the level of wool tax they pay, from zero to 3 per c
ent.
But Wellington producer Peter Barton says they must also be able to influence ho
w the tax take is used.
Qld urged to take advantage of new GM technologies
One of Australia's leading experts in genetically modified (GM) crops says Queen

sland is in an unique position to take advantage of new technologies.

Queensland and the Northern Territory have not followed the other states in bann
ing GM crops.
The CSIRO's plant industry deputy chief, Dr T J Higgins, says buyers overseas, s
uch as Japan, are opening up to genetically modified products, despite voicing o
pposition in the past.
"The ironic thing is our major competitor in Canada produces GM canola, mixes it
with the non-GM canola and sells it to Japan very competitively with Australia,
" Dr Higgins said.
"Australia does not get a premium for its non-GM canola in Japan. So I ask mysel
f the question - why are we put at a potential disadvantage to our competitors?"
At the same time, a group of farmers on South Australia's Eyre Peninsula has cal
led for the state's ban on GM food crops to be lifted, to help beat the problem
of herbicide resistance.
Report highlights structural issues for Aboriginal pastoral companies
A report into the economic viability of Aboriginal pastoral companies in the Kim
berley has found they are not structured to deliver sustainable profits.
The report, commissioned by Meat and Livestock Australia, surveyed a third of th
e 30 stations owned and operated by Aboriginal communities in north-western Aust
ralia.
Report co-author Peter McEntree says productivity is generally low and stocking
rates, and land quality poor, compared to local non-Aboriginal cattle properties
.
"One of the key issues and it's really a bit of a structural issue for a lot of
Indigenous properties and that's just the issue of scale," he said.
Chile pushes for Australian wine industry cooperation
Australian researchers will soon be sharing information with one of our wine ind
ustry's major international competitors.
Charles Sturt University in New South Wales has signed a memorandum of understan
ding with the Institute of Agricultural Research in Chile.
Speaking through an interpreter, the Chilean Agriculture Minister Alvaro Rojas s
aid the two countries could work together to develop Northern Hemisphere markets
.
"The countries, especially in the Southern Hemisphere like New Zealand, Australi
a and Chile, need to be working together," he said.
Education the answer to reducing road fatalities, say truckies
There is debate in the Northern Territory about whether to introduce speed limit
s along the Stuart Highway.
It is believed authorities may be considering introducing a limit of 110 kilomet
res an hour to reduce road fatalities.
But the Australian Trucking Association's Peter Goed says the answer is more edu
cation about the risk of fatigue.
He says it would actually be more dangerous to limit the speeds of motorists try
ing to overtake road trains.
Drought predicted to worsen
There is another gloomy forecast today that suggests the drought is set to worse
n.
The weather bureau is predicting a hotter than average lead-up to summer right a
cross the country and below-average rain in most of eastern Australia.
The seasonal outlook from October to December says there is up to a 70 per cent
chance that northern Queensland, Victoria, South Australia and Tasmania will be
drier than normal.
Bureau climatologist Blair Trewin says temperatures will be generally higher tha
n normal.
"The outlook is leaning quite strongly towards warm conditions in much of the co
untry both daytime maximum and overnight minimum temperatures," he said.

Drought takes its toll

The drought's effect is worsening daily.
The winter grain crop in NSW is on a knife's edge and almost half of it could fa
il without rain in the next seven to 10 days.
The state's Primary Industries Minister, Ian Macdonald, says dry winds and no ra
in have combined to make the worst conditions possible.
His department is downsizing crop predictions and now expects less than 2.5 mill
ion hectares to be harvested, less than half the annual average.
Harsh weather
In Victoria, harsh weather is taking its toll on grain crops in the Mallee and W
immera regions.
The combination of high temperatures and dry winds, followed by frosts, has some
growers considering harvesting nothing this year.
Department of Primary Industries agronomist Rob Sonogan says the damage has been
patchy.
"What we're really seeing as an average across the whole zone is somewhere about
30 per cent of average yield expectation and that's daily decreasing," he said.
Poor season
In WA, the poor season is being blamed for a 23 per cent fall in the number of l
ivestock entered in this year's Royal Agricultural Show which starts in Perth th
is weekend.
The Royal Agricultural Society's Deane Allen says many farmers will spend their
money on livestock feed, rather than taking animals to the show.
"I would suggest, from the sheep point of view, it's been very difficult for peo
ple to get feed," he said.
NRMA rejects petrol companies' petrol transport costs claims
The NRMA has rejected claims by petrol companies that transport costs are to bla
me for higher fuel costs at country service stations.
The head of the motoring body, Alan Evans, has told the Senate inquiry into petr
ol pricing that consolidation of retailers and outlets means prices will only ge
t higher.
He says petrol retailers must be forced to be transparent about why their rural
stations charge up to 20 cents a litre more than city outlets.
"Even the oil companies themselves say three cents a litre would account for the
freight costs," he said.
"When you look at differentials as we had in the last week between Sydney and Wa
gga, of nearly 20 cents a litre, 19, you had differentials of 14 between Wagga a
nd Albury on the same day on the average price of fuel, you can't explain it by
freight."
But there are bright prospects for an alternative fuel.
An Australian company has been awarded $2 million by the United States Energy De
partment to trial an alternative hydrogen fuel blend for vehicle engines.
Eden Energy says some American buses will be powered by its hythane mix.
Hythane blends 7 per cent hydrogen with 93 per cent natural gas.
Eden Energy executive chairman Greg Solomon says the US particularly wants the t
echnology because of stringent emissions standards being introduced next year.
Group hits out at inequality between urban, rural training facilities
The body which represents TAFEs says inequality between urban and rural training
facilities is contributing to rural skills shortages.
It wants the federal and state governments to consider proposals including more
cooperation between urban and rural TAFEs, setting up specialist technical schoo
ls for year 11 and 12 students and establishing a new trade diploma.
Martin Riordan, from TAFE Directors Australia, says student numbers have fallen
by 67,000 in the past five years and country institutes in particular are not at
tractive enough.

"There is massive discrimination within the system against rural and regional [a
reas]," he said.
NT fishermen reach buyout deal
Up to six northern prawn trawling licences may have been bought back by the Fede
ral Government.
Darwin fishermen Tony Thiel says he is relieved to have reached a deal in the fi
rst round of the national industry buyout.
He has been unable to sell 10 tonnes of banana prawns caught earlier this year.
But Mr Thiel says restructuring would not have been necessary, if the Government
had done more to limit imports of cheaper inferior prawns.
"I don't believe they will need restructuring any more. What our problem is, the
y can't sell the product and that is the main thing now," he said.
"They could stop imports. They stopped it in the states, the industry, the fishe
rmen stopped it importing and duping of prawns."
Meanwhile, Australia's patagonian tooth fishermen have rejected calls to close d
own the fishery.
This week, two illegal fishermen were fined more than $100,000 for poaching.
The Australian Conservation Foundation says the penalty is no deterrent and a wo
rldwide ban on the sale of the toothfish would be more effective.
But Les Scott from Petuna Sealord says that would punish responsible operators.
Company says SA Zircon grade among best in world
Mining of zircon in the far west of South Australia is a step closer, with the d
iscovery of what could be the world's richest grades of the mineral.
The Adelaide Resources and Iluka Resources joint venture has announced that the
Tripitaka deposit north-west of Ceduna, contains about 650,000 tonnes of zircon,
which is used to make ceramics, glass and aluminium.
Adelaide Resources chairman Keith Yates values the deposit at about $650 million
.
"The zircon content of the heavy mineral component of Tripitaka is in the order
of 65 per cent and 65 per cent by world standards is absolutely extraordinary as
far as the heavy mineral component of the deposit is concerned," he said.
AWI happy with current marketing funding
Australian Wool Innovation (AWI) says it is happy with the level of funding for
marketing, despite some grower fears that it is not enough.
AWI is recommending a 2 per cent levy in the upcoming wool poll which would see
$35 million spent on product development and marketing.
AWI chairman Ian McLachlan wants to ensure the marketing program is effective be
fore committing more funds.
"If that does work as well as we hope it will, it's not beyond the realms of con
templation to have another poll before the three years is up," he said.
Milk company to draw up shortlist of buyers
A merger or takeover has not been ruled out for one of Australia's main milk com
panies.
Tatura Milk, which controls around 5 per cent of Australia's supply, is undergoi
ng a financial review after posting a $6 million pre-tax loss last year.
Supplier meetings were held this week in Victoria's Goulburn Valley to explain o
ptions put forward by several parties interested in Tatura.
Company chairman Ian Bertram says a shortlist will be drawn up before any decisi
ons are made about mergers or funding help.
"At this stage we can't confirm who they are, but we are negotiating with 10 to
12 interested parties," he said.
Canegrowers backs call for voluntary destruction of smut affected cane
The Canegrowers organisation supports the Queensland Government's call for cane
farmers to voluntarily destroy crops severely affected by sugar cane smut.
The disease has been detected on more than 60 properties in south-east Queenslan

d since June.
Dept defends performance of Indigenous pastoral enterprises
The organisation that supports the development of Indigenous pastoral enterprise
s in the Kimberley has defended the performance of the organisations.
A Meat and Livestock Australia report into the economic viability of Aboriginal
pastoral companies in northern Western Australia found productivity and stocking
rates were generally poor, compared with non-Indigenous owned properties.
But Russell Show from WA's Agriculture and Food Department says the report is to
o negative.
"The report's accurate but it's not complete," he said.
"And in fact in the review it suggests that there are uses, multiple uses that A
boriginal communities want on their properties and that those uses by their natu
re maybe mutually exclusive but we've discovered that they're not.
Black wattle tree research may help in greenhouse gas fight
New research into black wattle trees may help the fight against greenhouse gases
.
Scientists at the Victorian Department of Primary Industries are trialling compo
unds found in black wattle, as part of research on reducing methane emissions fr
om cows.
The compounds are known as "tannins" and are being trialled in a new drench that
has the ability to change the way cows digest feed.
Scientist Martin Auldist says previous trials have found the tannins cut methane
emissions from sheep.
"Overseas studies have shown that tannins from black wattle can reduce methane e
mission by about 13 per cent," he said.
Cole blasts AWB for withholding crucial email
A furious oil-for-food inquiry Commissioner Terence Cole has blasted lawyers for
AWB following the overnight production of a crucial email.
After an hour-long delay to proceedings, Commissioner Cole entered the court roo
m in a fiery mood.
He demanded an explanation from AWB about how the August 2002 email and its atta
chments from the head of UK-based Ronly Holdings, to AWB in-house lawyer, Rosema
ry Peevey, was not produced months ago.
A contrite counsel for AWB, James Judd QC, told the commission the email was a c
rucial document and had it been produced months ago, the length of the Cole inqu
iry would have been shortened.
Flugge admits transport fees knowledge
Former AWB chairman Trevor Flugge has told the Cole inquiry into the oil-for-foo
d scandal he did know about transport fees being paid to a Jordanian trucking co
mpany.
When Mr Flugge stepped into the witness box he indicated he was having trouble h
earing senior counsel assisting John Agius QC.
The problem soon cleared and the questioning became robust.
Mr Agius asked the witness: "Were you aware in September 2002 that AWB was payin
g a trucking fee?"
Mr Flugge replied: "Yes, I believe I was."
Mr Agius continued: "To whom did you believe AWB was contractually bound to payi
ng the trucking fee," Mr Flugge answered, "to a Jordanian trucking company".
But when Mr Agius quizzed the former AWB chairman about UK-based Ronly Holdings,
who funnelled the trucking fee to Alia on AWB's behalf, Mr Flugge told the inqu
iry he did not know at that time the payments were made through an indirect proc
ess.
Meanwhile AWB says growers should be reassured by its decision to wear millions
of dollars in legal costs relating to the Cole inquiry and the Australian Tax Of
fice.
The Grains Council of Australia previously called on AWB to confirm that growers

would not have to pay the bills out of the national wheat pool.
AWB's Brendon Stewart says the wheat exporter's corporate division will now shou
lder the costs.
"The key decisions that we announced yesterday are around protection the entitle
ments of the 05/06 pools, the 06/07 pools and importantly the operation of futur
e pools," he said.
"In terms of under a trust structure, [it] should give growers all the assurance
they need in terms of costs that are going to come out of those pools."
AWB has also dropped its wheat production forecast to between 12 to 15 million t
onnes, based on the poor crop conditions.
Grains analyst Malcolm Bartholomaeus says a small winter crop will increase loca
l competition and growers will probably abandon AWB's pools to take advantage of
good domestic prices.
Gold mine set to finally open
A massive new gold mine at Lake Cowal in central western New South Wales is fina
lly opening today, 10 years after it was first proposed.
Environmental concerns kept the project on hold.
The owners and operators of the mine have had to overcome many hurdles to allow
today's opening to take place.
Lake Cowal is the largest inland lake in the state, but is dry most of the time.
The mine development had been stopped several times over cyanide concerns, Abori
ginal issues and the potential environmental impact.
The first gold pour took place in April of this year.
Canadian owner Barrick says 2,010 permanent staff are now employed.
Water allocations reduced for Murray irrigators mid-season
For the first time in history, the South Australian Government will reduce water
allocations for River Murray irrigators in the middle of the season.
Govt blasted for not helping frost-devastated growers
The Victorian Government is under fire for not providing financial help to regio
ns hit by devastating frosts earlier this year.
The Government yesterday announced measures to help fruit growers in the Goulbur
n Valley, who lost at least half their stonefruit crops to frost earlier this we
ek.
Back in June, the Murray Valley lost $17 million worth of citrus to frost.
But John Tesoriero, from the Murray Valley Citrus Board, says calls for help fro
m growers in his region have gone unheeded.
"This particular area though the Sunraysia Citrus Growers did write to Minister
Cameron requesting that he come inspect the damage for himself," he said.
Dry weather forcing Indonesian cattle feedlots to cart water
The Islamic festival of Ramadan is under way and a prolonged dry in Indonesia is
forcing some cattle feedlots to cart water.
Stored dam water is disappearing quickly for the largest importer of Australian
cattle.
But Greg Pankhurst of Agrogiri Perkasa says at least the cattle fatten faster wh
en it is not raining.
"Extremely dry, unbelievably dry. We have a wet and dry season like the Top End
of Australia, but we have not had rain here now for two months, which is very un
usual for the wet season," he said.
Vaile outlines trade achievements
Outgoing Trade Minister Mark Vaile says while world trade talks have been disapp
ointing, he has delivered benefits to farmers.
Mr Vaile is swapping portfolios with Transport Minister Warren Truss today.
He says putting agriculture at the centre of world trade talks, free trade deals
with the US and other countries, and forcing Europe to remove some sugar subsid
ies have been victories.

"Achieving that win saw the EU having to remove the export subsidies from 4 mill
ion tonnes of sugar annually and it has seen a significant increase in the globa
l price of sugar," he said.
Minister says battle ahead to meet China FTA deadline
The Federal Agriculture Minister says Australia has a tough battle ahead to meet
the deadline to broker a free trade deal with China.
The two countries have agreed to a one to two year timeframe to negotiate the de
al, but China is hesitant to give ground on agriculture.
Peter McGauran has been meeting Chinese leaders this week to push Australia's ca
se and says high tariffs on Australian farm exports must be addressed.
"Prime Minister Howard and Premier Wen as head of government of China have urged
all departments and ministers to set a timetable of one to two years," he said.
"That is an ambitious undertaking but is one that we strive towards.
Ban on some rodeo events welcomed
Members of Rodeo Tasmania have welcomed bans on some rodeo events under the Tasm
anian Government's proposed new animal cruelty laws.
New laws will ban the riding of sheep and poddy calves, while events must have a
vet in attendance at all times.
Rodeo Tasmania's Annette Reed says the practices known as poddy calf riding and
mutton busting are not common in the state.
"Very few rodeos run them, we're not at all upset at the fact that they have gon
e on the chopping block," she said.
Sports lovers facing big weekend
It is shaping up as a big weekend across the country for sports lovers, with fou
r states battling it out in the AFL and NRL season deciders.
It is a tough weekend for Queensland NRL supporters, faced with backing the loca
l Brisbane Broncos, or a team full of ex-Queenslanders, Melbourne Storm.
But there will be no fence sitting in the north Queensland community of Nebo.
"The Broncos are going to win by at least 12 points and I think the reason they'
ll win is they'll play 80 minutes of football right through it," one supporter s
aid.
"I hope the Broncos win but I think the Storm will do it, they're just a tough a
ll-round team," another said.
"I'll be with my youngest daughter who's a Melbourne supporter on the night so I
'll probably have to go for Melbourne if I want a bed for the night," a resident
said
"It'd have to be the Broncos because their Queenslanders," said another.
In WA, AFL supporters are excited about the chances of the West Coast Eagles in
their clash against Sydney.
This group of country kids from the state's south reckon the locals will do them
proud.
"I reckon they'll win by about five points - three points," one said.
"Just win I reckon - about 10 points," said another.
Ute muster extra special for WA couple
Thousands of people are heading for Deniliquin in southern New South Wales for t
he national ute muster.
It will be an extra special trip for Western Australian vegetable grower Rob, wh
o will kick off the weekend by marrying his fiance Iris.
Rob says it was a deep passion and love of utes that brought them together.
"We were going to get married before we come on the trip but then one of our fri
ends decided well why don't you get married at the ute muster," he said.
"So we've organised it for the day before and we've been down the track a couple
of times before and finally we've sort of met somebody that's got exactly the s
ame interests, she's more into the truck than me at times, and well it's, fun."
Murray water users warned to expect cuts

The Murray Darling Basin Ministerial Council has released dire predictions about
future water allocations in the river system.
With the worst inflows into the Murray River since Federation, high-security wat
er users, who usually receive 100 per cent of their water rights, are being warn
ed to expect cuts in coming months.
Jo Haw from the local government-based Murray Darling Association says farmers a
re selling water rights in desperation.
"The bottom line is they are doing it against every ounce of their fibre," she s
aid.
"I think people who are putting their water rights on the market now, some of th
em are very unwilling sellers but they have no choice.
Wool production drop blamed on drought
The drought is being blamed for an estimated 6 per cent drop in wool production
across Australia this season.
Australian Wool Innovation (AWI) says the forecast has fallen 27 million kilogra
ms to 434 million, because of a lack of rain, pasture growth, and the fact that
there's no end to the drought in sight.
Chairman of AWI's production forecasting committee Dr David James agrees it will
be a tough season for growers.
"Partly it's due to the fact that feed production will be down," he said.
"For example ABARE is forecasting that cereal production levels will be down by
about 30 per cent and another concern is in fact the capacity of farmers to prov
ide water to their stock, and on top of that of course there are cash flow facto
rs which will make it difficult."
The dry conditions are forcing many sheep farmers to begin their shearing earlie
r than normal.
And the bigger supply is hurting wool prices, with the market suffering its bigg
est drop since April.
Tony Kidman from Quality Wool says many farmers can not afford to store wool unt
il prices rise.
"We appear to be having less people holding onto wool at this moment, people loo
king for more of a cash flow with their wool," he said.
"I think the drought conditions are forcing people to shear a bit earlier and se
ll their sheep a bit earlier than they have in the past."
International factors are also affecting wool prices.
Bill Cowley from the Australian Wool Network says the market drop is disappointi
ng, especially when the Australian dollar is weaker.
"China do most of their business in US dollars and when we see the US currency f
all, we would normally see a firm to slightly dearer market here in Australia, b
ut the bids that are coming from the Chinese at this particular time are getting
lower and lower, and there's some resistance to the higher price that they are
having to pay in the US," he said.
Farmers urged to talk about problems
Drought-affected farmers are being told to swallow their pride and ask for help
to get through this season.
Victorian rural outreach worker Ivan Lister says more farmers are seeking suppor
t than during the 2002 drought.
He says in many cases talking about problems can help.
"The word that we use is stay connected and we try to promote that amongst all t
he communities," he said.
"They'll either be talking to each other in family situations, talking to the ne
ighbour, asking each other how they're going.
"Be aware that a lot of people are suffering at this time and will continue to s
truggle.
Recycling scheme being commissioned
Tasmania's biggest water recycling scheme is being commissioned today to provide
irrigation water to farms and golf courses.

More than 2,500 megalitres of treated sewage water will be diverted from the Der
went River.
City engineer John Stevens from Clarence Council says the $16 million scheme wil
l prevent up to 80 tonnes of nitrogen and 25 tonnes of phosphorous ending up in
the river each year.
He says so far 25 water users have signed up but with the current climate outloo
k, perceptions of recycled water are changing quickly.
Fresh concerns raised about 3G technology in rural areas
New concerns have been raised about the future of mobile phone services in rural
Australia, once the current CDMA network is phased out.
Deputy PM Mark Vaile has warned Telstra he will not accept any deterioration in
services, once so-called 3G technology replaces the current system.
The system was to provide broadband Internet and other technology but Telstra sa
ys initially, the network might not be that advanced.
Telecommunications analyst Paul Budde says the 3G system will only be able to pr
ovide voice calls.
Publisher seeks more flexibility in media ownership law changes
Australia's largest publisher of rural newspapers is calling for more flexibilit
y in cross media ownership rules.
The Federal Government is planning to overturn most of the current restrictions
but maintain some regulations in regional areas to ensure a diverse range of med
ia outlets.
But John Fairfax, chairman of Rural Press Limited, wants to see fundamental chan
ge.
Honeymoon uranium mine gets environmental green light
Final environmental approval has been granted for South Australia's controversia
l fourth uranium mine.
The SA branch of the Environment Protection Authority (EPA) has granted licences
for both mining and milling of uranium at the Honeymoon mine west of Broken Hil
l.
Concerns had been raised about potential ground water contamination from the min
e's plan to extract the mineral from rock using acid.
But Keith Baldry from the EPA says the process is environmentally sound.
Nickel price hits record levels
The price of nickel is climbing to record levels as demand increases and global
supplies dwindle.
The base metal has doubled in price in the past six months and is now fetching a
lmost $14 a pound.
Chicken meat import law review prompts health concerns
A peak poultry group says important human health concerns have been ignored in a
review of the laws governing chicken meat imports.
Biosecurity Australia released a draft import risk analysis into imports in June
.
But Dr Andreas Dubs, from the Chicken Meat Federation of Australia, is concerned
the draft does not exclude countries which use 'human' antibiotics to grow chic
kens.
He fears it could lead to consumers developing a resistance to the antibiotics.
"In Australia we don't use antibiotics in animals that are primarily used in hum
ans, so, an antibiotic like fluoroquinolone, which is a very important antibioti
c as a last weapon in human health, is not allowed to be used in Australia, wher
eas it has been used in a lot of other countries," he said.
Rain delays sugar harvest
Too much rain has delayed the sugar harvest in northern New South Wales.
Mills are facing a drop in production, with an unusually wet season making crush

ing difficult and reducing sugar content levels.

Greg Petersen from the Condong Mill near Murwillumbah says the harvest could now
drag on until early next year.
"This year has been particularly difficult with the amount of lost time we've ha
d with the wet weather," he said.
Recent frost hit vineyards
Wine grape growers in Victoria's high country say their vineyards have been badl
y damaged by recent severe frost.
The frost, which caused widespread devastation in orchards in the Goulburn Valle
y, also hit the state's east.
Gippsland wine grape growers Howard Reddish says he has lost at least 50 per cen
t of his grapes but it is hard to know the true cost of the damage just yet.
"We're going to have to do something to the vines now to remove the dead and unw
anted shoots," he said.
Countries approve global macadamia association
Macadamia nut growers hope a new global body will ensure other countries help to
pay for the industry's research and promotion.
As the world's leading producer of macadamias, Australian growers largely foot t
he bill, but a new global association has been approved by the 25 countries whic
h grow the nut.
Queensland researcher Ian McConachie says it will provide better communication a
nd even out the costs.
Cane toads helping to reduce feral pigs, insect numbers
Pest animals are having a field day on some farms in the Northern Territory.
South of Darwin, at Batchelor, one farm is losing at least three tonnes of premi
um champagne melons a year to dingoes.
But fruit grower David Thompson says the arrival of cane toads has reduced feral
pig numbers and insect problems.
"It's a godsend to us in a way because we get a lot of the insects in the garden
, because they got a really long tongue on them and they seem to never miss," he
said.
"When they whip their tongue out they got the insect, that's it. Mainly moths, t
hey will eat crickets and things like that as well.
Weed killers suspended because of crop damage
Authorities have suspended the use of 24 weed killers due to concern about the d
amage they are causing to horticulture crops.
Known as 2,4-D short chain esters, the chemicals are most commonly used to kill
weeds in grain crops.
The Australian Pesticides and Veterinary Medicines Authority says despite contro
l measures to stop spray drift, the chemicals can still evaporate and travel lon
g distances.
Pesticides program manager Eva Bennett Jenkins says chemical companies will need
to prove their products are safe but until then the horticulture sector needs t
o be protected.
Shearers seek pay rise
Australia's shearers want a 4 per cent wage rise under their federal award.
The Shearers and Rural Workers Union has recommended a new minimum shearing rate
of $218.31 per 100 sheep, an increase of around $9.00.
Shed hand rates would also rise.
General secretary John Morgan says members have been issued with common law agre
ements detailing the new rates and hopes wool growers will be prepared to sign t
hem.
"It's not a great impost on the employers," he said.
"Some people have suggested that it's not enough, but at the same time we recogn
ise wool growers aren't getting a fair deal in relation to their wool prices and

we understand that.
"But they seem to forget that our people have got to travel large distances to g
et to their places of employment at great cost and we've got to be remunerated f
or our labour and our costs."
The industry is refusing to comment on the changes.
Meanwhile shearers across Australia are benefiting from a price war for their to
ols of the trade.
The price of combs and cutters have been cut by up to a third and the price of s
ome new handpieces on the market are half that of established brands
Queensland shearing contractor Ian Bateman says he is happy about competition co
ming from China.
"I think it's a good thing, for the simple fact is, it's like anything else, if
anybody gets a monopoly, they just seem to charge or do whatever they want to do
and I reckon the third company into the business will definitely make the other
companies brighten their foot work up," he said.
Australia's highways below standard: survey
The first independent audit of the nation's highways shows half are below standa
rd and may be unsafe to drive on.
The Australian Automobile Association surveyed 18,000 kilometres of the national
highway in all states except New South Wales and gave each one a star rating.
Worst on the list were the Bruce Highway on Queensland's Sunshine Coast and the
Calder Highway in Victoria between Bendigo and Kyneton.
The association's executive director, Lachlan Macintosh, says half of the highwa
ys were rated three stars and more likely to cause deaths.
"In a three star road there are still some deficiencies in the road features; po
or median protection, perhaps too many intersections per kilometres of road, poo
rly designed curves, not enough markings on the road," he said.
"So those three star roads could be better, we could see some pretty inexpensive
treatment to make them better and that's fairly important."
Telstra to consider objections when deciding on country pay phones
Telstra says it can not guarantee that some country communities will not lose th
eir pay phones.
The company says it is permitted to remove some phones which are being underused
and has agreement from the Federal Government.
But Jeff Booth from Telstra Countrywide says local objections will be considered
.
"Where there are very, very low call rates, like one call per month or something
similar, and where it's costing thousands of dollars to maintain a pay phone we
'd probably use our discretion in that regard," he said.
Truss expecting to discuss trade issues from Aust
Australia's new Trade Minister Warren Truss says he expects to travel far less t
han his predecessor Mark Vaile.
Mr Vaile has left the trade position to focus on transport and domestic issues s
urrounding the future of the Nationals.
Mr Truss says he is hoping he can do far more future trade negotiations from Aus
tralia.
"It will be necessary to talk to people in other parts of the world but I still
regard very much my responsibilities to my own electorate, to the people of Aust
ralia as a high priority," he said.
Rot destroys pink lady exports
An unusual fruit skin condition not seen in Australia before is hurting exporter
s of pink lady apples from Western Australia.
The rot has destroyed about 40 per cent of this year's exports to the United Kin
gdom and there are fears more could be rejected in a shipment of 800 tonnes of f
ruit currently on its way.
Experts from Australia and the UK say they have never seen browning this early i

n the season and are trying to find what is causing it.

Angelo Logiudice from the WA Apple and Pear Council says it has having a huge im
pact.
"In real terms 35 to 40 per cent loss after packing is huge losses because you'v
e already sustained some losses as you are sorting fruit for export packing, so
this is going to be huge for growers," he said.
NT mango growers seek alternative transport methods
Despite the Top End's heat and humidity, some growers are considering sending ma
ngoes to market without refrigeration.
A shortage of refrigeration trucks means growers might have to consider sending
fruit south overnight when temperatures are cooler.
The Horticultural Association's Tracey Leo says it is high risk and will only be
used as a last resort.
"We have predicted a shortfall of about 125 vans in the peaks of the season, whe
n melons and mangoes are coming in, in their peak," she said.
"You know the trees are coming into higher production, we are going to be lookin
g at higher volumes and the availability of refrigerated trucks in the Territory
is always going to be an issue. So any transport methods that we can look into
are good."
Reef review recommendations disappoint fishermen
Commercial operators near the Great Barrier Reef are disappointed with a recomme
ndation that fishing bans remain in place for another seven years.
The federal review followed industry anger at being banned from fishing a third
of the reef two years ago to protect fish stocks.
The review says there should be no change to the ban, which has angered Russell
Anderson from the Queensland Seafood Industry Association.
Rock lobster prices hit 5-year high
Prices for rock lobsters in the southern fishing zone have hit a five year high
just days after the opening of the season.
Along the South Australian coast from Robe to Port Macdonnell prices range betwe
en $40 and $48 a kilogram, nearly $10 higher than this time last year.
Lionel Carrison, from the South East Professional Fishermen's Association, says
supplies are low at this time of year, but the high prices are not expected to l
ast.
"I guess everybody was anxious for new supplies," he said.
Website to help drought-stricken farmers
A website is being launched for drought-stricken farmers in Victoria to help eac
h other through the summer.
Farmers will be able to use the Internet to advertise available feed or labour w
ith the site expected to be up and running within two weeks.
Doug Chant from the United Dairyfarmers of Victoria says the site will put farme
rs in touch with a wide network of people and resources.
"Basically it will be feed that will be available, farmers that have feed whethe
r it be hay, silage, grain, will have the opportunity of putting it on the web,"
he said.
"Anything to do with helping farmers through these very difficult times, it give
s other farmers in other parts of the state the opportunity of being able to hel
p out."
Sheep take over Hay street
A mob of 1,500 sheep has taken over the main street of Hay, in western New South
Wales this morning, re-enacting boom times in the wool industry.
The sheep are needed for the Australian Shearing and Woolhandling Championships
at the end of the week and rather than truck them in organisers have decided to
re-live a part of the town's history.
ShearOutback director Kim Biggs says the spectacle has not been seen for more th

an 70 years.
Shearer sets unofficial world record
A South Australian shearer has set an unofficial world record by shearing 1,054
merino lambs in 40 hours.
Gary Hebberman from Jamestown, in the state's mid-north, used the marathon to ra
ise money for his local sporting complex and a childhood cancer charity.
While previous record attempts have featured cross bred lambs, he chose merinos,
because that is what he is used to shearing.
"I was brought up on merinos, so it makes it a bit easier for me," he said.
"It is harder, never ever been done in merino lambs before, it's been done in cr
oss breds, so we just went with it, run with it and see how we went. I didn't lo
ok back."
Govt promises major farm policy changes
The Federal Government has promised major changes to future farm policy in Austr
alia.
It has accepted 52 recommendations made by the Corish Report earlier this year,
including world trade, biosecurity, food standards, drought preparation and land
and water management.
Three recommendations were rejected, including tax concessions for rural areas,
importing unskilled migrant workers and centralising power over transport infras
tructure.
Despite those knock backs, head of the review Peter Corish says it is a landmark
win.
Live cattle exports to Egypt to resume
Australia's peak livestock industry bodies have welcomed an agreement to resume
live cattle exports to Egypt.
Shipments were halted after the broadcast of footage of cattle having their tend
ons slashed to restrain them at an Egyptian abattoir.
The Australian and Egyptian governments have signed an agreement to track all Au
stralian cattle until they are slaughtered at three abattoirs.
At the abattoir where the cattle were filmed, Minister for Agriculture Peter McG
auran says an oversee will be appointed to ensure Australian standards are met.
Cash incomes for beef producers halved
A new report says the cash income for beef producers has been halved in the past
financial year.
The Australian Bureau of Agriculture and Resource Economics (ABARE) says the fig
ures reflect a trend for producers to hold off selling large numbers of cattle i
n 2005-06.
Rhonda Treadwell from ABARE'S farm survey and analysis branch says producers hav
e been attempting to build up herd numbers.
"Essentially the farm cash incomes have fallen quite considerably and that is ma
inly because of the incredibly big build up of cattle numbers across a lot of be
ef cattle properties, so their profit hasn't fallen as much as their cash income
," she said.
But those attempts to build up herds are now being thwarted by the on-going drou
ght, with producers starting to sell large numbers of cattle.
In north-west New South Wales, producer Graham Wilson says his greatest worry is
finding enough water for his cattle.
"We haven't had any inflow into our dams for over 12 months and we're getting ve
ry critical," he said.
"Our bores on average have gone from about 800-900 gallons an hour down to 200 g
allons an hour.
"We need about 40,000 litres of water a day.
Wool growers unenthusiastic about shearers' proposed wage rise
Wool growers say they are not keen to support a proposed 4 per cent increase to

shearers' wages.
The Shearers and Rural Workers Union says it has recommended "modest" new rates,
with a $9 increase per 100 sheep.
Growers will be asked to sign common law agreements to pay the new rates from Oc
tober 31.
But the executive director of WoolProducers, Greg Weller, says growers need to r
emember that the rise is not set in concrete.
"They're entitled to be able to put forward a view to their members on what they
believe should be the appropriate rate," he said.
"And I don't think it's helpful for either shearers, and particularly wool growe
rs, if there's a suggestion that there is some rate out there other than what's
actually in the award.
New licences to double SA oil, gas exploration area
The area under exploration for new oil and gas deposits in South Australia will
double, after the approval of eight new exploration licences.
The exploration area will increase to 140,000 square kilometres, including the A
rckaringa Basin near Coober Pedy in the far north.
The company SAPEX has been awarded the licences and managing director Andrew And
rejewskis says any finds will help other mining projects.
"We're looking at the major resource projects that are occurring in that general
vicinity," he said
Chemical ban will see return to old-fashioned farming: grain growers
Grain growers say they will be forced to return to old-fashioned and inefficient
farming methods, due to a new chemical ban.
The Australian Pesticides and Veterinary Medicines Authority has banned the use
of 24 weed killers containing chemicals known as 2,4-D short chain esters, due t
o concerns about contamination of vineyards and horticultural crops.
Garry Hansen from the South Australian Farmers Federation says grain growers wil
l be forced to use more expensive chemicals, which they cannot afford in the cur
rent climate.
Fodder shortage starts to show in key growing regions
There is more evidence of a looming shortage of fodder, due to dry conditions in
the nation's key growing regions.
The Australian Fodder Industry Association says apart from the north coast of Ne
w South Wales and parts of Queensland hay crops need a good drink.
Executive officer Colin Peace says some grain and canola crops are being baled,
but overall production will be down.
"The lucerne hay is going to be like hens teeth because there's not the irrigati
on water that there was say after the last 02/03 drought," he said.
"That would be well into the $200 per tonne on farm.
Demand for water tanks increases
The drought is also increasing demand for water tanks from farmers.
They are not being used to collect rainwater, but to hold water being trucked in
to properties across Victoria, New South Wales, Queensland and South Australia.
Ross Hendy from Tankworld in north-west Victoria says around 250 tanks are being
sold each week, and there is a six-week wait for them.
New irrigation model saving water
A water cooperative in Western Australia is being held up as a model example for
the irrigation sector.
The Harvey Water Cooperative in south-west Western Australia has replaced open i
rrigation channels with pipes, creating water savings of about 25 per cent each
year.
The saved water is piped to Perth to be used in the urban area.
Dan Norton has been named Rural Achiever of the Year at the Royal Show for his c
ontribution to the cooperative, and he hopes others can benefit from the project

.
"By piping the system and eliminating the irrigation channels you cut those loss
es by 25-30 per cent, which is [the] world's best practice for an open channel s
ystem," he said.
Global demand boosts exports of dairy goats
Growing global demand for dairy products is helping to boost exports of Australi
an dairy goats.
Argentina and Mexico have been big buyers to expand their local goat milk indust
ries.
Now demand is emerging from Asia, Yemen and Papua New Guinea.
Jane Hewlett from Tasmania's Dairy Goat Society says there is a growing acceptan
ce of dairy foods, particularly in Taiwan and China.
"Originally dairy products were not high on their list of food," she said.
North-west WA worried about biosecurity risks
In far north Western Australia, farmers who want to develop new luxury bed and b
reakfast accommodation in the Ord River irrigation area will now have to take bi
osecurity risks into account.
The Shire of Wyndham East Kimberley is amending its Town Planning Act to protect
the region's agriculture, which is highly regarded because of its isolation.
It is worried about the threat of pests and diseases that could be brought in by
tourists.
Vaughan Davies from Tourism Western Australia says it is the first time biosecur
ity has played such a major role.
Australian consortium launches new beef marketing strategy
A big push into 4,000 Japanese supermarkets has been launched by Meat and Livest
ock Australia (MLA) and the Australian Agricultural Company.
Qantas and Wolf Blass are also joining the marketing strategy, to promote Aussie
beef in the lead-up to Christmas.
MLA's managing director David Palmer says it is a unique marketing plan to snare
ongoing commitment from tough Japanese consumers, and fight off competition fro
m the US.
"It's an initiative to help continue to drive that loyalty, to help to continue
to hold shelf space here in the Japanese retail market," he said.
Pollen from feral olives can cause 'severe respiratory problems'
The expansion of olive production across the country could be leading to human h
ealth problems.
The Cooperative Research Centre for Australian Weed Management says leaving frui
t on trees after harvesting is causing feral olives to spread outside the grove.
Chief executive Rachel McFadyen says the pollen from feral olives can cause seve
re respiratory problems.
"Olive pollen is quite a severe allergen, that's to say if people breath it they
develop an allergy to it, and then they start to suffer from hay fever and sinu
sitis and eventually perhaps asthma," she said.
Govt has no major greenhouse gas strategy: expert
A leading climate change expert has told a summit on alternative fuels that the
Federal Government has no far reaching strategy to reduce greenhouse gas emissio
ns.
The former head of atmospheric research at the CSIRO, Dr Graeme Pearman, says Au
stralia will face growing international pressure to meet targets and it does not
have any in place.
The NRMA is pushing for an alternative fuels task force, challenging the Governm
ent to fund it.
Dr Pearman says if politicians do not set aside their electoral aspirations, Aus
tralia faces an immediate crisis.

Ex-NFF boss considers entering federal politics

The former president of the National Farmers Federation (NFF), Peter Corish, has
confirmed he is thinking about running as a candidate in next year's federal el
ection.
Federal Agriculture Minister Peter McGauran says the Nationals would welcome the
former leader, but Mr Corish says he is yet to make up his mind.
He believes it would be logical to run in the new New South Wales seat which inc
orporates the seat held by former deputy PM John Anderson.
The National party has welcomed an apparent softening in the Federal Government'
s plans to allow greater powers for cross-media ownership in rural areas.
Communications Minister Helen Coonan says she is prepared to listen to proposed
changes to the new ownership laws, to ensure radio, television and newspapers ar
e not owned by one company in the same region.
Nationals' MP Paul Neville says members are hoping to convince the Minister to p
rotect rural media.
Farmers air mining worries
The search for copper, cobalt, nickel and uranium near the Northern Territory to
wn of Batchelor is worrying some local farmers.
Compass Resources has revived exploration near the town, originally built to ser
vice the nation's first uranium mine, Rum Jungle, in the 1950s.
Small rural blocks have been developed since then, including a commercial vegeta
ble and fruit farm.
Compass's community manager Tracker Tilmouth says they have yet to reach agreeme
nt over how to share resources, including water.
"Because of where the mine is located we have a very large water supply that we
have to de-water, so we will be looking at a whole range of activity that we can
complement their water supply or whatever," he said.
Barrick up-beat about gold price rise
The price of gold has slipped yet again overnight, but the world's biggest gold
miner remains confident about the long-term market.
Barrick Gold Corporation is standing by its prediction of a gold price of $US700
an ounce by the end of the year.
That is a fair way above the current price of $US566.
But chief executive Greg Wilkins says not enough gold is being produced globally
to replace current reserves, which should drive the price back up.
"Clearly one of the challenges for the industry and for the viability is trying
to manage the cost," he said.
"If gold prices come back down below $500 an ounce it won't take all that long f
or the supply side to shrink more rapidly than we're seeing today which in turn
I think would have positive impact and bring the price back up.
Beefed up prices recorded at Rockhampton bull sale
Australia's biggest bull sale has attracted record prices and a clearance rate o
f 98 per cent.
The sale at Rockhampton, in central Queensland, finished last night, with more t
han 1,000 bulls fetching nearly $6.5 million over three days.
The top sale of $90,000 was paid for both a grey and a red brahman bull.
John Croaker from the Australian Brahman Breeders Association says it is the res
ult of years of work.
"They have certainly invested in the breeding herd and the genetics that they ar
e using and it is certainly paying off," he said.
SA grain harvest begins early
The grain harvest has started two weeks early in South Australia this year becau
se of the lack of spring rain.
Ian Mudge from Telowie, near Port Pirie, has reaped 300 hectares of peas and bar
ley so far and says despite very low yields, the grain is of reasonable quality.
However, he says not all of his crops will be worth harvesting and expects to be

finished well before Christmas.

"I reckon we'll have most of November and December off. I think it's just one of
those years that we'll just chalk up to experience and forget about and zip bac
k next year and have another go," he said.
On the far west coast of the Eyre Peninsula, the Thevenard silos has also report
ed its first delivery of oats.
Meanwhile, the estimated value of South Australia's crop production has been sla
shed to $600 million, about half of what it was last year.
The grim outlook has prompted ABB Grain to close at least two silos over summer.
And operations manager Peter Weaver says other silos throughout the state could
be added to the list.
Rice growers promised record price to plant
Australian rice growers are being guaranteed a record price of $320 a tonne to p
lant a crop this year.
The author of a new book on ways to better manage water says all users should ha
ve to account for the way they use the resource.
John Pigram, a Professor of water policy at the University of New England in New
South Wales, says farmers have already been forced to improve their efficiency
to make the most of low commodity prices.
He is calling for a national audit system to force users to justify their water
allocations.
"Whether that be for irrigation, for industry, for a wetland, or a brewery, [the
y have] ... to be accountable for its use," he said.
Bunnings at centre of grapevine quarantine concerns
Giant hardware chain Bunnings could face prosecution for allegedly bringing grap
evines into South Australia from a phylloxera risk area in Victoria.
Phylloxera, aphid-type insects that attack and kill grapevines, are not present
in SA.
The Department of Primary Industries says 122 grapevines were found in four Adel
aide Bunnings stores.
Spokesman David Cartwright says any breach of quarantine conditions could put th
e state's $2 billion wine industry at risk.
Tough conditions may halve Barossa crop
South Australia's famous Barossa wine region could only harvest half its normal
volume of grapes this vintage.
A major frost this week has damaged budding vines and comes on top of a lack of
rain and reduced water entitlements.
Bob Taplin from the Barossa Winegrape Growers Association says while lower yield
s might help to reduce the industry's grape glut, it will not help growers becau
se prices are set to stay low.
Reduced canola crop prediction may see oil seed imports
A forecast of the smallest canola crop in more than a decade has prompted specul
ation that local crushers will import oil seed from Canada.
Grain analyst Malcolm Bartholomaeus says there is likely to be a shortfall betwe
en Australian production and customer demand.
He says with canola $90 a tonne cheaper in Canada, crushers might look there to
fill the gap.
"One of the considerations is plant utilisation, so importing the canola would b
e attractive from that perspective," he said.
"Also what's the value of the oil coming out and canola oil is reasonably highly
priced at the moment, particularly with the underlying biodiesel demand - then
you look at the demand and the price that might be achieved for the meal and at
the moment there's certainly going to be domestic outlets for canola meal in Aus
tralia with the current feed situation out of this drought."
Number of rural financial counsellors to be cut

Rural financial counsellors say they will have to cut staff because the Federal
Government's latest round of funding does not go far enough.
The Federal Government topped up funding for the scheme by $10 million in the la
st Budget and the new program kicked off this month.
But Louise McArthur from the National Association of Rural Counselling Services
says a number of counsellors will be lost in every state because the money will
only fill funding shortfalls.
"It was slashed hugely, but there's been no negotiation regarding that and I thi
nk this has been the big issue right across the country," she said.
"That from the regions and the states we've put in what we think was an applicab
le appropriate number of counsellors, but we haven't been able to fund that leve
l of counsellors and with the climate change and conditions across Australia our
demands are going to become greater not lesser."
Commercial fishermen finding it difficult to sell boats
The fishing industry is having trouble selling its commercial fishing boats, in
the wake of a federal buyback of more than 400 licences around Australia.
In the major southern port of Eden in New South Wales a $2 million vessel is on
the market for just $200,000.
Processor and boat owner Titch Rodahl has accepted a buyout package and has sold
his boat at 1 per cent of its value.
With the buyout, it's not viable to stay open with the overheads and all that so
rt of stuff, it's not worth running the boats," he said.
"I sort of gave my boat away because I got paid for it in the buyout.
"Three years ago I bought the vessel for $210,000.
Tas shellfish industry consolidating
Tasmania's shellfish industry is facing significant generational change, with ma
ny family operations selling up or merging.
Richard Pugh, the general manager of Shellfish Cultures, says Tasmania's oyster
industry is now more than 30 years old and many farmers are reaching retirement
age.
He says a cost price squeeze and the difficulties of recruiting new farmers is l
eading a push towards consolidation.
"Farms [are] just moving towards getting economies of scale," he said.
"We're finding that we're getting a lot of cost squeezing happening, prices are
not rising very quickly.
AWB releases grain stock onto domestic market
With many grain crops failing around the country, AWB International has started
to release large stocks of grain onto the domestic market.
The feedlot and milling industry have been bidding strongly for the grain, with
wheat futures on the Stock Exchange hitting more than $300 a tonne this week.
The chairman of AWB International, Ian Donges, says the company will also open u
p a number of silos for producers to buy grain for their livestock.
Mr Donges says AWB still has large supplies of wheat.
"The budget has been around four to 5 million tonnes," he said.
"We have got to realise that wheat of course is spread across Australia.
Grain growers expecting above average yields
While grain growers across the country watch their crops die, one small group of
growers are set to reap at least average yields, in one of the most unlikely sp
ots.
Farms in the Nundroo and Coorabie districts of South Australia, near the Nullarb
or Plain in the state's far west, had good summer rains, which were followed up
in April.
Local farmer Peter Stott says some paddocks have had above average rain.
"We'll go close to an average season hopefully," he said.
"We seemed to have copped a little bit more rainfall here, especially towards th
e coast.

Pastoralists appeal for lease payments waiver

Pastoralists in central Australia are asking the Northern Territory Government t
o waive their annual lease payments, as they struggle with the prolonged drought
.
The Cattlemen's Association says the payments for 12 drought declared stations a
re worth up to $100,000.
The stations have been unable to receive the Federal Government's exceptional ci
rcumstance assistance due to means testing and the absence of specific applicati
on guidelines for the Northern Territory desert.
Vanessa Smith of Newcrowne Station, south-east of Alice Springs, says urgent hel
p is needed to lighten the growing financial burden.
"Everything helps, absolutely everything helps, whether they waive pastoral leas
e payments, you know anything," she said.
"We pay $8,000 for our lease.
"That money could go elsewhere.
Govt aims to refocus some drought funding
The Federal Agriculture Minister says the Government hopes in future to refocus
some of its drought funding towards helping farmers to be better prepared for dr
y periods.
Peter McGauran says the Government is not planning to withdraw its current droug
ht assistance, but says the most efficient farmers should be supported.
"Don't read into that that we're going to abolish interest rate subsidies," he s
aid.
High quality wool a hit at Sydney, Melbourne markets
The sale of high quality ultrafine wool in Melbourne and Sydney was the highligh
t of a fairly lacklustre week in the wool market.
A top price of 65,500 cents a kilogram was paid at the Sydney sales, with Italia
n buyers dominating the bidding.
On a wider note, the eastern market indicator fell two cents to 737 cents a kilo
gram clean.
More than 65,000 bales will be offered next week, including 5,000 bales from New
Zealand.
Rural workers at high risk of sperm DNA damage: scientist
There is a claim today that men who work regularly with pesticides are likely to
face difficulties fathering children.
A scientist at the University of Adelaide's Centre for Reproductive Health has b
een researching the damaging affect of chemicals on sperm DNA.
Dr Michelle Lane says rural workers are in a high risk group.
"We have found a clustering in some occupations with men with high DNA damage an
d it's often associated with men that might come in to exposure with things such
as pesticides or solvents and things like that," she said.
Farmers brace for locust plagues
Victorian farmers are bracing for another summer of locust plagues, with hatchin
gs set to begin this week.
The Department of Primary Industries (DPI) has set up portable work stations so
more staff can be sent to wherever the plagues are most severe.
Dr Malcolm Campbell from the DPI says the need for increased resources was the k
ey lesson from last year's plague.
Irrigators accreditation course to help improve image
For the first time, a national accreditation course will be available for irriga
tors to help improve their image as water users.
The Irrigation Association of Australia has introduced the national industry sta
ndard, which covers five minimum skills that people need to work in the sector.
Farmers who have taken part in other training schemes can also gain accreditatio

n.
Chief executive Jolyon Burnett hopes it will reduce inefficient water management
practices.
"Many farmers are still scheduling their irrigation by the tried and true old me
thod of wandering out into the paddock, kicking the dirt, having a look to see h
ow moist it is and then making a subjective judgment on how much water to apply,
" he said.
Country people set example for water-smart gardening
City gardeners facing strict water restrictions this summer could learn a lesson
from their rural counterparts.
Frankie Wilkinson, from the South Australian-based Plant People Nursery, says he
r rural customers have always made water-smart purchases.
She says while drought is affecting many farming communities, it does not mean t
heir gardens are turning into dust.
"Country people on the whole we find have always watered at night, or first thin
g in the morning, they've always mulched and this is something that I think subu
rban people are beginning to learn and are doing a lot more than they used to,"
she said.
Rural Australia to wait for access to $1b broadband network
Telstra has switched on its new $1 billion mobile broadband network at an invest
or briefing in Sydney.
But it will be quite some time before all regional Australians can use it.
Chief executive Sol Trujillo says the network is 100 times greater than any of i
ts competitors and will reach 98 per cent of the Australian population.
However group general manager of Telstra Country Wide Geoff Booth says full acce
ss for rural Australia will not be possible until more towers are built.
"Wherever there is now mobile cover we'll have a broadband product, so we're goi
ng to be able to resolve a lot of those so-called dead spots in terms of broadba
nd," he said.
Govt vows $50m for rural mental health clinics
The Federal Government has offered another $50 million in funding for mental hea
lth clinics in rural areas.
The Prime Minister, John Howard, says it will help double the level of access to
mental health professionals for country residents.
Mr Howard says his government will also spend $500 million expanding the Medicar
e Rebate system, so that more people can get mental health services through GPs,
psychiatrists and psychologists.
Mr Howard says it is part of a $1.6 billion program launched with state governme
nts earlier this year.
"We will be committing some $51.7 million over five years to target areas of nee
d by funding organisations like divisions of general practice and Aboriginal med
ical services to establish and run mental health clinical services in rural and
remote communities."
Depression fears
The Grains Council of Australia says it is very concerned there will be an upsur
ge in depression rates as the drought tightens its grip on many states.
It estimates the country's 30,000 grain and mixed farmers will lose an average o
f $150,000 each on their barley and wheat crops.
Council chairman Murray Jones is urging farmers to seek help if they are not cop
ing.
"I'm sure that this pushes a lot of people to the edge," he said.
"These are circumstances which are quite beyond their control and we're just con
cerned that a lot of these farm families will have some severe psychological eff
ects on this and they need to get help if it's necessary."
Funding cuts

The cutting of funding to rural financial counselling services across Australia

has come in for some strong criticism from a mental health body.
State and federal governments have been arguing over the funding, with some stat
es threatening service cuts unless the Federal Government provides more money.
Professor Brian Kelly, from the NSW Centre for Rural And Remote Mental Health, s
ays financial counsellors are irreplaceable during the drought.
"They're the people who are often consulted by farmers about managing the busine
ss, managing the pressures they face in farming," he said.
Landcare conference to focus on climate change
Climate change is high on the agenda at this week's International Landcare Confe
rence, which has opened in Melbourne.
More than 1,000 farmers in Landcare, academics and representatives from natural
resource groups from Australia and across the globe have converged on Melbourne,
for the week-long conference.
The theme for the conference is "building communication networks to create futur
e landscapes, lifestyles and livelihoods".
Top of the agenda is climate change and the balance between agriculture and the
environment.
Kicking off proceedings today is Land and Water Australia's chairman, Bobbie Bra
zil, looking at if Landcare is an ancient myth or modern dreaming.
Landcare leaders will be recognised for their work at tomorrow night's National
Landcare awards, presented by the Governor-General Major General Michael Jeffery
.
A Canadian environmental lobbyist has told the Landcare conference that Australi
a would not be in a drought at all, if people used water more wisely.
Maude Barlow, who is writing a book called the Global fight for the right to wat
er, says Australians need to change their attitudes towards water saving.
"I think the current drought situation is a reflection of over use and abuse of
water," she said.
Hundreds take oil concerns to Canberra
About a thousand people turned out in Canberra yesterday to send a message to th
e Federal Government that it needs to take urgent action to address climate chan
ge.
The words Clean Energy for Eternity were spelt out across Reconciliation Place.
Organiser Dr Matthew Nott, an orthopaedic surgeon from Bega, says that one of th
e critical problems facing rural communities, which are dependent on road transp
ort, is oil depletion.
"Petrol's going to become much more expensive in the near future, we're going to
be forced to become more self sufficient. and that is going to become more and
more difficult as we get hotter and drier," Dr Nott said.
Perseverance makes $46 mill offer to Leviathan
Victoria could host Australia's second largest gold producer following a takeove
r offer for Leviathan Resources by Perseverance Corporation.
The bid by Perseverance is worth $46 million, valuing each Leviathan share at ab
out 56 cents.
Perseverance intends to close Leviathan's Melbourne office and move some staff a
nd equipment from Leviathan's Stawell Gold Mine to Perseverance's Fosterville go
ld mine, near Bendigo.
Managing director Graeme Sloan says if accepted, the offer will deliver big bene
fits to Perseverance shareholders.
"We'll have the largest landholding in Victoria, very close to 6,000 square kilo
metres, which is quite extraordinary given the state that the largest is Newcres
t," he said.
Media law debate on hold
A Senate debate on the Federal Government's controversial media laws has been de
layed until tomorrow, while Communications Minister Helen Coonan continues meeti

ngs with dissenting backbench Coalition MPs and senators.

National party members are also meeting today, after Senators Barnaby Joyce and
Fiona Nash indicated they could block the legislation in its current form.
Pulp mill development headed for courts
Landholders opposing a $650 million pulp mill development in South Australia wil
l take their case to the courts.
The development, near Penola in the state's south-east, was conditionally approv
ed by the South Australian Government last month, subject to further checks by t
he Environmental Protection Agency.
Lawyer Peter Humphries, acting for 30 landholders, says he will be asking the Su
preme Court to review all aspects of the application process.
"There's been no environmental impact study done," he said.
Hobby farmers buy up along cattle route
Confidence in the cattle sector is attracting droves of hobby farmers to purchas
e stock along Queensland's central coast.
People are snapping up small parcels of former sugarcane farms and are choosing
cattle, due to their relatively low maintenance requirements.
Smaller saleyards in central Queensland are on track to smash annual yarding rec
ords and Elders Livestock Agent, Matthew Lockwood, from Mackay, says he cannot s
ee the trend slowing down.
"As the country gets broken up around the agricultural areas people do find that
put a fence up and cattle are pretty easy to handy and run," Mr Lockwood said.
WA harvest off to early start
Harvest has kicked off in Western Australia much earlier than normal because of
a dry finish to the season.
The first canola delivery to the state's main grain handler, Cooperative Bulk Ha
ndling, was made on the weekend in Esperance.
Farmer Gavin Egan says harvest would have been a few weeks later if there had be
en more spring rain.
"It's been pretty dry here the last three months, pretty well, we were lucky to
get a bit of rain at the start of September which pulled us out of it a little b
it, but definitely drying off rapidly," he said.
Grape vines stripped as drought continues
In far western New South Wales, a table grape grower is stripping healthy vines
to keep them alive, with the Menindee Lakes system at just 15 per cent capacity.
Menindee irrigator Paul D'Ettorre says if big rains do not come by March, he fac
es the prospect of walking away from his family's 60-year-old farm.
While he expects table grape prices to remain steady for the season, Mr D'Ettore
says the long-term future is uncertain.
"We will be okay as long as we keep getting the top-up rains, but we keep fallin
g back," he said.
Mango prices drop as harvest picks up
The price of a tray of mangoes has halved in the past fortnight, as the Northern
Territory harvest gets into full swing.
The Docking family, who are based on the fringes of Darwin's rural area at Berry
Springs, are making the most of drier early build-up weather.
It can be blisteringly hot, up to 35 degrees in the shade, with humidity easily
80 per cent at picking.
But so far, 3,000 trays of mangoes have been plucked from their orchard.
That is compared to 220,000 trays across all of Darwin.
Strong winds have scratched the surface of some fruit, increasing the amount of
seconds and the early premium prices have already fallen away, to below $30 a tr
ay in the Sydney markets.
Tassie team takes out shearing championships

In just its third year of competing, Tasmania has won the team's event at the na
tional shearing championships, in Hay, NSW, at the weekend.
The Tasmanians took out the trophy at Hay on the weekend, beating Western Austra
lia by more than 30 points.
Team member Steve Rigby says the island state's success is remarkable, given its
inexperience.
"Just three years up and running and to beat you know the other states of Austra
lia that have been competing for a lot longer than we have ... it's a real surpr
ise," he said.
"Not only have we got some of the best wool in Australia we've got the some of t
he best shearers and shed hands."
Water sensors may cut irrigation losses significantly
An irrigation expert says multi-million dollar projects using water sensors coul
d cut irrigation losses by between 10 and 20 per cent across Australia.
That is equivalent to all the water used in urban areas.
John Langford, director of the Water Research Centre at the University of Melbou
rne, says the first year of trials has been completed and indications are that i
t could halve the cost of irrigation efficiency programs.
"It involves a unit called a nictor, which would be about the size of a coffee p
ot, you can dot them around at random in the landscape, so long as they are clos
e enough to each other they will form their own wireless network," he said.
Council seeks funding for annual stored grain survey
The Grains Council of Australia says an annual survey of stored grain is needed
to stop livestock farmers panic-buying overseas during droughts.
It wants both federal government research bodies, like the Grains Research and D
evelopment Corporation and the livestock industry, to pay $50,000 a year for the
survey.
Grains Council chairman Murray Jones says livestock farmers need to be made awar
e that domestic grain is still cheaper than imported grain.
"[The] Grains Council of Australia supports the livestock industry who've been a
sking for an indication of a clearer picture of the availability of grain stocks
," he said.
"I think it's important, both from the livestock industry and from farmers as we
ll, that we have some some record of the greater transparency of the grain at ha
nd."
Meanwhile the worsening dry in southern and central New South Wales will lead to
job losses at Graincorp.
The largest east coast grain handler believes it will only open two thirds of it
s silos and dramatically cut its casual staff.
Graincorp's central regional manager Murray Wilkinson says the company does not
have an option but to reduce its costs as the crop dwindles by the day.
Farm-related industries bracing for disaster: NFF
The latest Westpac-NFF rural commodity index shows a 1.7 per cent fall on the pr
evious month, amid a drop in beef prices and predictions farm incomes will halve
in the coming year.
National Farmers Federation (NFF) vice-president Charles Burke says the figures
show it would be short-sighted to dismiss drought as just a problem for farmers.
Drought expected to cut cotton production
Analysts are predicting cotton growers this season will plant Australia's smalle
st crop in nearly 20 years.
Independent Commodity Management's Matthew Leeson says a range of factors, inclu
ding the drought, will cut production to about 1 million bales.
He says the commodity's subdued price is also significant.
"Compounding the marginal moisture availability is poor price for cotton versus
the well above average price for the feed grains due to the shortfall from the w
inter cereal crop this year," he said.

Farming region running out of water

One of Victoria's wettest farming regions is running out of water.
The water storage at Leongatha, in Gippsland, is at 24 per cent and falling and
residents are on stage four water restrictions.
South Gippsland Water is auditing local businesses, including the major dairy pr
ocessing plant Murray Goulburn, to see if their water use can be reduced.
Meanwhile oil tankers could ship Tasmanian water to the mainland under a new pro
posal.
Environment company Solar Sailer will propose harvesting fresh water from a numb
er of sites in the state's north, when it meets the Tasmanian Government next mo
nth.
The company's Robert Dane says selling water to major cities could prove a lucra
tive industry.
Wine exports to UK drop
Australian wine exports have slipped to their lowest level in 16 years, with sal
es to the UK down 3 per cent.
The latest data from the Australian Wine and Brandy Corporation also shows the a
verage price per litre of $3.77 was the lowest in nearly a decade.
But cheaper bulk shipments to China are outstripping all other markets, increasi
ng fivefold to 16 million litres.
The corporation's Lawrie Stanford says the wine glut and foreign exchange issues
are partly to blame and the outlook is not good.
"The Australian wine sector is clearly oversupplied at the moment and whilst vol
umes are growing on the back of principally bulk sales, prices are clearly falli
ng as a result," he said.
Frost decimates Limestone Coast vineyards
After frosts earlier hit the Barossa Valley, they have now decimated vineyards a
long the Limestone Coast of South Australia, wiping millions off the value of th
is year's vintage.
The region that's famous for its full blooded red wines could lose most of this
year's grape crop after the temperature dropped below minus three for the second
morning in a row.
Damage has been most severe in the Padthaway Valley.
Grower Ian Ward says he has lost about 90 per cent of his crop.
"I've got a couple of neighbours who are a hundred per cent affected, I have ano
ther neighbour who might be only something like 10 per cent [affected and got of
f pretty lightly," he said.
Rural doctors push for fly-in, fly-out mental health workers
The Rural Doctors Association of Australia says the federal and state government
s need to fund fly-in, fly-out mental health workers to deal with a major shorta
ge in regional and remote areas.
It says the Federal Government's announcement yesterday that it is expanding acc
ess to mental health staff under Medicare and setting up new rural clinics will
not work if staff can not be persuaded to go to the bush.
Association president Dr Ross Maxwell says while more psychologists and psychiat
rists need to be trained, it still would not be enough to fix the rural shortfal
l.
Urgent talks needed to reassure North Asian trade partners: Opposition
The Federal Opposition says the diplomatic row over North Korea's claimed nuclea
r weapon test will have to be carefully defused to prevent Australia's trade int
o North Asia being disrupted.
The Government says it is looking to the UN Security Council to take action agai
nst North Korea.
The Opposition's trade spokesman, Kevin Rudd, says China, Taiwan, Japan and Sout
h Korea buy $70 billion of commodities and products from Australia, and urgent t

alks are needed to reassure them.

Scientists pool resources to look at illegal fishing impact on sharks
The impact of illegal fishing upon sharks in north Australian waters is being st
udied, as part of a new research collaboration.
Marine scientists are pooling resources at Darwin's Arafura Timor Research Facil
ity which has cost $3.5 million to build.
Chief executive officer Stuart Fitch says the laboratories allow advanced geneti
c fingerprinting of marine material, including seized shark fin.
"This is a genetic sequencing analyser or as most people would probably understa
nd it from CSI on TV, DNA analysis," he said.
King Is plantation development ban worries timber industry
Tasmania's timber industry is worried that a ban on plantation development on Ki
ng Island will set a precedent.
The chief executive of the Forest Industries Association of Tasmania, Terry Edwa
rds, says he is surprised that the planning policy to prohibit plantations on th
e island was upheld yesterday after legal scrutiny.
He is concerned other councils will now try to limit plantation development.
"We now have a situation seemingly in Tasmania where councils can tell farmers w
hat crops they can or cannot grow on their land," he said.
Apples may be used to produce ethanol
Apples could be the next agricultural commodity used to produce ethanol.
The horticulture industry in Western Australia's south-west says unsaleable frui
t could be juiced and be turned into biofuel, fetching up to $120 a tonne.
And Vic Grisotis from Apple and Pear Australia says other fruits could also be u
sed.
"If it's a sugar based product there's no reason why it can't be," he said.
Govt may extend drought assistance
The Federal Government is considering extending its drought assistance in the fa
ce of worsening conditions across many states.
It says the current system was set up to deal with one or two-year droughts rath
er than the series of dry years farmers have faced.
The federal Agriculture Minister, Peter McGauran, says the Government is worried
that farmers in areas where there has been some rain are slipping through crack
s in the system, so changes are being considered.
"We don't believe now with the failed spring any of those areas have any possibi
lity of recovery, so rather than wait until they meet another criteria, we shoul
d be able to move them straight into drought declaration," Mr McGauran said.
But the Opposition's agriculture spokesman, Gavin O'Connor, says the Government
has been too slow to act.
"Even in EC declared areas, only 13 per cent of farmers have ever accessed these
particular provisions."
The Government says planned changes will make it easier for areas to become drou
ght declared for EC assistance.
It says they will stop rainfall in one district ruling out help for a whole regi
on and allow EC declarations to last longer than 12 months.
The National Farmers Federation (NFF) says the current drought emergency require
s immediate intervention.
Chief executive Ben Fargher says the politicians are now aware farmers are not w
hingeing, but looking for targeted measures to deal with the crisis.
"We need to make sure that EC program is working as well as it could," he said.
"We would also like the government to consider further changes to EC about some
eligibility criteria, lifting caps on interest rate subsidy assistance and some
technical matters like that.
Wheat shortage prompts price spike
World wheat prices have enjoyed their biggest two-day gain in 18 years on the Ch

icago Board of Trade, amid global supply concerns as droughts affect Australia,
India, Europe and the US.
Prices soared 13 per cent to $US5.24 a bushel, the highest level in 10 years bef
ore dropping slightly.
The frantic price spike comes after the Grains Council slashed its forecast for
the Australian wheat harvest to 12 million tonnes, though American producers bel
ieve the Australian crop will be even smaller than that.
The wheat futures rally has been spurred by the massive areas of cereal and cano
la crops failing in southern and central New South Wales.
These were the comments from producers today from Dubbo through to the Murray Ri
ver.
"Things have really gone downhill in the last couple of weeks, our deliveries sa
y to Condobolin is probably lucky to get 10 per cent of the normal 150,000 tonne
s," one producer said.
"Some areas there will be a small amount of grain harvested, probably about 90 p
er cent of the canola has now been cut for hay and a small proportion of the whe
at has been cut for hay," said another.
"Very little more than 30 per cent will see a header at this stage, I think peop
le are glossing over just how serious this is, another producer said.
"I know we have got people around here turning there stock in on their crops for
the first time in 40 odd years. It's very ordinary.
Dairy farmers' incomes increase
Australian dairy farm cash incomes have increased by nearly a quarter in the pas
t financial year to just over $100,000 a farm.
Figures released by the Australian Bureau of Agricultural and Resource Economics
(ABARE) show Victoria, South Australia and Western Australia performing strongl
y.
But incomes fell in Tasmania, New South Wales and Queensland as the drought push
ed up fodder costs and cut milk production.
Colin Mues, from ABARE, says high prices paid by dairy processors made a big dif
ference to the bottom line.
"The main factor driving that was higher milk prices through improvements in the
dairy market," he said.
"Production was fairly steady, it went down marginally at a national level but t
here was a fairly uniform improvement in prices across all states and I think th
at's been the key factor driving it and the price increases were, you know, betw
een 3 and 5 per cent."
But dairy farmers in Western Australia refute ABARE's figures.
Farmer John Giumelli says cost of dairying land is so high that profit making is
almost impossible, even with better milk prices.
"The attrition rate in dairy farms in WA is absolutely shocking but it's an indi
ctment of what pressure the industry is under and I take no joy out of the ABARE
figures," he said.
Environmentalist honoured at Landcare awards
Environmentalist Rick Farley has been remembered at this year's national Landcar
e awards.
The award winners were announced last night in Melbourme.
One thousand people flew in from across Australia and as far as Africa to attend
the event.
Eleven awards were handed out to farmers, schools, and shire councils for excell
ence in land conservation.
Western Australia dominated taking home three awards, New South Wales and South
Australia two and one went to Tasmania, Queensland and the Northern Territory.
Governor-General Major General Michael Jeffery presented the ABC with an award f
or its support.
But for many whose lives were touched by the late Mr Farley, a co-founder of Lan
dcare, it was the dedication of an international award in his name that was the
highlight of the evening.

ACCC urged to investigate alleged price gouging

The NRMA is calling on the Australian Competition and Consumer Commission to inv
estigate what it alleges is price gouging by Australia's oil companies, as fuel
prices fall.
NRMA director and former NFF president Graham Blight is meeting National party s
enators in Canberra today to discuss the issue.
He says claims by the oil companies that they are passing on all of the recent f
alls in wholesale fuel prices are simply not accurate.
"The Singapore unleaded price has dropped by 29 per cent," he said.
"The crude price has dropped 22 per cent. So the difference between what we've h
ad here is a drop of 14 per cent and the Singapore unleaded is 15 per cent.
Confrontation looms over US farm policy
A showdown is looming over US farm policy, one that could be even more fierce in
the wake of Congressional elections next month.
The Bush administration has been singing the praises this year of cutting farm s
upports.
But farm state lawmakers are resisting sweeping reforms and opposition could sti
ffen if Democrats regain control of at least the House amid several Republican s
candals.
Likely Democratic Agriculture chairman, Collin Peterson, blames US WTO concessio
ns.
Mr Peterson says he is not going to give up 60 per cent of the US farm program u
ntil the EU, Japan and others give up their barriers to trade.
Zinc price soars
The price of zinc has soared to $US1.66 a pound as world stocks slip to their lo
west level in 15 years.
Zinc miner Zinifex says official stocks are likely to drop to zero next year bec
ause of low production.
Commodities analyst with the ANZ bank, Andrew Harrington, says tight supply on t
he London Metals Exchange will push prices up further.
"What they're saying is the official stocks in LME [London Metals Exchange] will
probably get very, very low and obviously as they do that prices go up," he sai
d.
Mangoes to be sold in cardboard trays
Whole trays of mangoes will be for sale in supermarkets this season.
Retailers have demanded the mango packing sheds change over to smaller, black ca
rdboard trays.
Packing the new trays means a lot more work.
But Joe Schwarer, a Northern Territory packing shed manager, hopes the trays wil
l sell more fruit.
Parents warned not to use animal treatments on children
The Australian Veterinary Association is warning parents not to use treatments d
esigned for animals on children.
The association's Dr Matthew Miles says he has heard reports from Victoria of an
imal flea treatments being used to combat head lice in children.
He says the practice is dangerous.
"There's no safety data whatsoever to describe their use in people and we just d
on't know what are the effective levels or safety levels," he said.
Gold mine set to reopen
A gold mine in far north-western New South Wales that closed more than 100 years
ago may reopen.
A 700 square kilometre prospect centred on Tibooburra was originally mined from
1880 to 1891 before water shortages and low gold prices forced its closure.

Rejected bananas may be returned at growers' expense

More than 1,400 cartons of bananas from northern New South Wales have been rejec
ted by Victoria and may be returned at the growers' expense.
Growers were seeking the better prices from the Melbourne market.
But the $100,000 shipment was sent without the certification needed to ensure it
was not ripe and therefore safe from fruit fly.
Arthur Akehurst, from the Department of Primary Industries, says the actions bre
ach interstate trade regulations.
"This action has endangered the arrangements we have with Victoria but I hope Vi
ctoria sees it as a one off and doesn't take further action," he said.
Govt's training vouchers 'a positive response'
Rural training bodies have given the Federal Government's plans to give training
vouchers to school drop-outs a cautious welcome.
Prime Minister John Howard says people over 25, who did not complete Year 12, wi
ll be able to use the $3,000 vouchers to pay for vocational courses in TAFEs, fe
deral colleges and private institutions.
The chairman of the Rural Training Council of Australia, Peter Griffin, says the
plan would go some way towards easing rural skills shortages.
"It's a very positive response. The skills shortage is a complex issue through r
ural and regional Australia," he said.
Firefighters battle blazes in Tas, Vic
Tasmanian fire services say they have brought under control all 12 bushfires aro
und the state.
The worst blazes are in the state's south, although fires have also been reporte
d on Flinders Island and Cape Barren Island.
There have been no reports of serious property damage but with temperatures push
ing 30 degrees, the fire service warns the situation could worsen.
In Victoria, a bushfire burning south of Mt Baw Baw in Gippsland has spread to 3
00 hectares, driven by strong northerly winds.
Fifty firefighters are working on the blaze and bulldozers are cutting containme
nt lines to stop its spread.
Cyclone warning for Top End residents
Residents living the Northern Territory's Top End region are being urged to take
preparations for the coming cyclone season very seriously.
CSIRO surveys have shown tropical cyclone Monica, which hit the Arnhem Land coas
t in April, devastated a wider area and more vegetation, and brought stronger wi
nds than cyclone Tracy, which flattened Darwin in 1974.
Researcher Dr Gary Cook says Monica snapped off trees at the trunk up to 40 kilo
metres inland.
"The cyclone went past and did a lot of damage in Maningrida, but in the bush th
ere was only about 15 per cent of the trees were snapped off or toppled over," D
r Cook said.
"Whereas out where cyclone Monica crossed the coast was closer to 80 per cent th
at compares to cyclone Tracy with Darwin, where it was only about one third of e
ucalyptus trees in town were toppled over with cyclone Tracy.
Bankers 'not forcing farmers' off land
The Australian Bankers Association has defended the banks' record in dealing fai
rly with drought-stricken farmers, following an appeal from Deputy Prime Ministe
r Mark Vaile.
Mr Vaile has written to the major banks urging them not to foreclose on farm loa
ns.
The bankers association's rural policy director, Stephen Carroll, says foreclosu
res are at a historically low level, because farmers are not waiting to be told
before deciding to quit the land.
"The banks are not in the business of forcing people to get out of their busines
ses or to sell assets,'' he said.

Climatologists back farmers on dry weather

Climate modelling from around the world continues to support what farmers have b
elieved for years, that it is getting drier.
Climatologist Dr Ian Foster, from Western Australia's Department of Agriculture
and Food, says there has been a shift to a noticeably drier climate in the south
-west of Western Australia and that is set to continue for the next century.
He says that trend is now also coming through elsewhere in Australia.
Egg prices set to climb
Egg farmers are warning that the drought may force them to increase their prices
by around 30 cents per dozen.
The Australian Egg Corporation says egg farmers have been struggling to carry th
e additional costs of rising grain prices.
DNA cattle feed test draws attention
Queensland's Gold Coast saw a gathering of 650 people today for Beefex, the Aust
ralian lot feeders national conference.
The cost of grain feed is on everyone's lips.
The commercial release of a new DNA test that can identify which cattle are like
ly to put on the most weight with the least feed has been announced today.
CSIRO Livestock Industries and its commercial arm, Genetioc Solutions, took 18 m
onths to identify four genetic markers that influence the feed intake efficiency
of cattle.
Feedlotters might feed a steer 1.5 tonnes of feed over a 100 days.
The announcement has drawn lots of attention as feed prices spiral across the co
untry.
AAC grazing plan proves successful: manager
The nation's largest pastoral house has proved you can graze cattle productively
in the outback without fences.
The Australian Agricultural Company (AAC) is using water and herding to control
grazing across 500 square kilometres.
Rockhampton Downs manager Ben Wratten says it has taken two years to change the
habits of cattle and so reduce overgrazing.
"We rotate them and alternate them from watering points by shutting off the ones
we do not want them to drink at," he said.
"We have got hard evidence now that it has definitely made a difference in the r
ecovery of our pasture and we have full crowns of mitchell grass within 200 metr
es of the trough.
"The cattle are burning a lot less energy to access good bulk feed.
Wheat ship remains idle
A German owned ship loaded with 72,000 tonnes of AWB wheat bound for Sudan remai
ns idle in Port Lincoln in South Australia.
Following negotiations overnight, eight crew members who went on strike over pay
and conditions will now be sent back to the Philippines, leaving the ship ancho
red in the port.
Dean Summers from the International Transport Workers Federation says the ship's
owners are looking for more crew but it might be hard to attract them.
"I think it will be a couple of days and these guys will be sent home," he said.
"We have got to wait for the Filipino seafarers to join it again, so there will
be eight more guys coming onto this.
"Although the guys coming on will have to realise that they will be expecting wa
ges about half the already low international minimum, so it would not be a very
attractive deal for anybody."
US endorsement expected to increase canola oil production
An Australian oilseeds forum has heard that worldwide canola oil production is e
xpected to increase after the US Food and Drug Administration gave its health ba

cking to the product.

Delegates at the annual conference in Melbourne have gathered to discuss the wor
ld outlook for oilseeds, as well as genetic modification (GM) technology and bio
diesel.
Mining expansion may affect water resources
The coal industry has conceded that water resources may be damaged by rapid expa
nsion of underground mining in New South Wales.
Spending on coal exploration in New South Wales has increased by 50 per cent in
the last year and many new mines are set to open in the Hunter Valley and the st
ate's north west.
Chris Moran, from the Sustainable Minerals Institute at Queensland University, s
ays the scientific understanding of underground aquifers and the technology need
ed to mine around them still haven not been developed.
"The question here is whether we have done the technical engineering research ea
rly enough to have effectively worked out the cracking, the surface slumping and
started to look at underground techniques that will allow either the cracks to
be sealed up or the cracking to be minimised during the process of mining," he s
aid.
Wine cheaper than bottled water
A supermarket in Australia's second largest wine growing region is currently sel
ling wine more cheaply than bottled water.
In another sign of the wine industry's plight, the Fisher's supermarket chain in
north-west Victoria's Sunraysia area has locally produced cleanskin reds and wh
ites for $2 a bottle.
Director Alan Fisher says he is not cashing in on the difficulties of wine-grape
growers in his local community because the only answer to the oversupply will b
e to move excess stocks.
"There is a huge glut and we have got to get rid of it somehow," he said.
"I think what we are seeing is people selling it to people like ourselves to get
rid of it as a cleanskin.
Young scientists recognised for innovative ideas
Using aerosol spray to administer vaccine to chickens, harvesting gold from plan
ts and tackling pneumonia in pigs, are among the innovative ideas of 20 young Au
stralian scientists.
The winners of the 2006 Science and Innovation Awards for Young People in Agricu
lture, Fisheries and Forestry were announced last night in Canberra.
Vic farmers hit out at drought assistance package
Farmers have reacted angrily to the Victorian Government's drought assistance pa
ckage, announced yesterday, saying they have missed out once again.
Much of the $12.5 million package focuses on assistance for communities.
Assistance for farmers includes mental health services and counselling, business
support and farming advice.
Goulburn Valley dairy farmer Dudley Bryant says the days are numbered for farmer
s unless they get some financial help immediately.
"I think they're treating us like idiots," he said.
"They think that we need social workers running around here patting us on the ba
ck and telling us that everything is going to be all right.
"And they've missed the real point, [which] is that farmers and rural communitie
s can look after themselves.
Water Initiative has room for improvement: report
The first stage of a national assessment of Australia's water resources has foun
d there is considerable room for improvement.
The Australian Water Resources 2005 report is a baseline assessment of Australia
's national water resources conducted by national independent agencies including
the CSIRO.

It is designed to show how the National Water Initiative, a blueprint for the co
untry's water reform, is influencing Australia's water resources.
It reveals there is considerable room for improvement and says the state and fed
eral governments need to take firm action to put in place effective water planni
ng to protect river systems and to agree on a national standard for sustainable
yields of surface and ground water systems.
Water trading plans will damage country towns: Joyce
National party Senator Barnaby Joyce says the Federal Government's current water
trading plans will damage the social and economic infrastructure of regional to
wns.
He has made the comments after a meeting with the head of the Murray-Darling Bas
in Commission, Wendy Craik.
There are plans to take more water for environmental flows and increase water tr
ading across state boundaries.
Senator Joyce says the very life of country towns is in jeopardy because their e
conomic prosperity will be traded away with the permanent sale of their water.
"What'll happen is the function of small towns based around irrigation on a sust
ainable basis will lose their water to other mechanisms that probably don't have
the same history, the same infrastructure, economic and social infrastructure b
ased round them," he said.
Drought behind land value increase
Climate change and drought are boosting Northern Territory land values.
There have been 38 sales in the Top End's tightly held pastoral estate over the
past five years.
Land valuer Frank Peacocke says well over half of the investors are Queenslander
s.
"It may level out a little bit, probably when the interest rates take a bit of a
turn or the cattle market takes a turn," he said.
"But most of them have property somewhere else in Queensland.
Cereal farmers head north
A small group of cereal farmers from northern New South Wales has had enough of
drought conditions and has bought some of the wettest agricultural land in the c
ountry.
They have purchased cane farms in north Queensland's Tully area, where annual ra
infall regularly exceeds 4,000 millimetres.
Until now, Hugh Ball has grown things like wheat, barley, chick peas and dry lan
d cotton, but he says he and a few mates decided to branch out.
"Really there were three fellas sitting round a table and we're all farmers," he
said.
"We're all [from] family driven farms and we were just looking for an opportunit
y.
"We couldn't do it ourselves so we thought if we team up and use individual expe
rtise this was a logical place to start looking, good rain.
Oil companies deny collusion claims
Australia's oil companies have told a Senate inquiry they are not colluding with
each other to manipulate prices.
Caltex is appearing before the petrol pricing inquiry in Canberra today, while B
P has also made a submission.
Caltex's chief executive Des King says the company only makes a profit of 2.2 ce
nts after tax on each litre of fuel sold.
He has told senators that competition, not collusion, is the main driver for set
ting petrol prices.
"It is very important to people who operate petrol stations to have high-volume
traffic through their station because if somebody finds that if their traffic th
rough their station is low, they will then follow the price down, if somebody's
already led the price down, to get their volume back up, because this is very mu

ch a low margin, high volume kind of business," he said.

Committee member, Senator Andrew Murray, says it is unlikely collusion is taking
place between the oil companies.
Natural resource management a high priority for farmers: survey
A new survey by the Australian Bureau of Statistics shows farmers on average spe
nd 121 days of work, or $28,000 in financial terms, maintaining their properties
each year.
The survey of 20,000 farmers between 2004-2005, found Australia's primary produc
ers spent $3.3 billion annually on natural resource management.
While the grain and beef industries were the biggest spenders, the highest spend
er per farm was the cotton industry at a $250,000 a year.
The director of environment statistics, David Brereton, says the study identifie
d how much time and money farmers spend maintaining their properties and their e
nvironment, and in what ways.
"Out of the $3.3 billion nationally, weed stacked up as the major cost with $1.3
billion or one third of that being spent on weeds, land and soil issues were $9
00 million and pest issues was $720 million," he said.
Ethanol plant proposal shelved
The Australian ethanol industry has taken another blow, with Bundaberg Sugar dec
iding to shelve a $20 million ethanol plant in north Queensland.
The company has blamed a lack of ethanol buyers for the decision, but also ackno
wledges it was unlikely to meet a deadline to qualify for $12 million in federal
assistance.
Caroline Honan, from leading ethanol producer, the Manildra Group, says the Fede
ral Government must do more for the fledgling biofuels sector.
Qld Govt to pay farmers to destroy smut infested cane
The Queensland Government will pay cane farmers $2,000 a hectare to plough out a
nd remove sugar cane crops infested by smut.
The long awaited plan of attack comes months after the fungal disease was first
discovered near Childers in the state's south-east.
Since smut was found in June, surveillance has uncovered it on more than 60 prop
erties, totalling 380 hectares in the Isis and Bundaberg region.
Isis Canegrowers chairman Joe Russo says destruction measures will help contain
the disease to south-east Queensland.
"I see no point in leaving smut infested blocks out there," he said.
"We've now identified smut in some of those blocks of ratoon that have been harv
ested for the 2006 season.
"So it does go to show that we cannot leave it there and let the wind just blow
it around.
Bird flu simulation to test Australia's response
The Federal Health Minister, Tony Abbott, says a four-day bird flu pandemic simu
lation will test Australia's quarantine and health systems on Monday.
He says the $4 million exercise is the biggest health crisis simulation ever und
ertaken in Australia and will involve more than 1,000 Commonwealth and state gov
ernment officials and staff.
Mr Abbott says part of the exercise will involve a passenger carrying bird flu a
rriving at Brisbane Airport on Tuesday.
"It will help test our border control, disease detection and surveillance, conta
ct tracing, quarantine and treatment systems," he said.
Australian actors, film makers, musicians and the late Steve Irwin have all cont
ributed to increasing sales of Australian wine in the United States.
The industry says they have all helped boost awareness of our country and wine s
ales to the US have increased in a decade from 2 million to 23 million cases a y
ear.
And New York based Jan Stuebing-Smyth from Wine Australia says there is still ro
om for the market to grow.

"It's our job to show them the diversity," she said.

"They now see Australia as one big place.
Drought forces revision of USDA wheat forecast
The US Agriculture Department (USDA) has made dramatic changes to its latest whe
at forecast based largely on the unfolding Australian drought disaster.
The USDA knocked down its estimate of Australian wheat production by a whopping
8.5 metric tonnes to just 11 million tonnes in just one month and this has sharp
ly changed US numbers.
Chairman of USDA's World Agricultural Outlook Board Gerald Bange blames Australi
a's drought and extreme heat.
"The Australians will not be in the export market the way they would have been o
therwise," he said.
"As a result of that, we have increased our export forecast today.
"We went up 25 million bushels from our previous forecast."
Water restrictions yet to be introduced in Broken Hill
Despite the critical shortage of water in the Menindee Lakes in western New Sout
h Wales, the city of Broken Hill remains without water restrictions.
The lakes system, which supplies the city with all its water, is down to just 14
per cent capacity.
But Country Energy's Brian Steffan says restrictions have not been introduced, p
artly because of concerns about lead poisoning.
"Broken Hill being situated where it is has significant issues with lead dust, s
o what we need to do is make sure that we have enough water," he said.
"We use more water than other eastern cities [and] towns because we need to make
sure that we have water to keep the lead dust down."
Meanwhile high security irrigators in the New South Wales Murray Valley have bec
ome the latest farmers to have their water allocations reduced.
Allocations are now back to 80 per cent of entitlement.
A similar cutback was made recently in South Australia.
The New South Wales Government says inflows in September were the lowest on reco
rd and there has been no October rain so far.
The chairman of the New South Wales Irrigators Council, Col Thomson, says he is
not surprised by the decision, which he says will affect many farmers.
"Dairy farmers and those people that haven't had enough water on low security ha
ve been very active in the market and a lot of high security have traded down to
what they would normally use in a year," he said.
Locust spraying under way
The WA Department of Agriculture and Food will start spraying for locusts today.
Numbers are said to be some of the worst on record and the locusts are getting s
tuck into what little feed and crops are around in this dry season.
Department crews, along with farmers, have been surveying farms for some months
now and have detected target zones that will be controlled before locusts swarm.
Kosciuszko bushfire contained
A 5,000 hectare bushfire in the Kosciuszko National Park has been contained by w
eekend rain but it is still a complex operation to put it out.
No property was lost in the blaze but searing temperatures and hot westerly wind
s swept the flames through new grasslands that had grown where the trees were bu
rnt in the 2003 summer fires.
Incident controller Ian Stewart says firefighters will be winched into "hot spot
s" to put out any fires still burning in the rugged country near the snow line.
"Yesterday we had a FLIR [forward looking infra red sensor/laser range] machine
come down, that's a helicopter with a forward looking infrared device which pick
s up hot spots," he said.
Durum wheat production cut
The dry weather and crown rot disease have forced South Australia's durum wheat

production to be cut dramatically this season.

Durum is used is making pasta.
Estimates are down from last year's 180,000 tonnes to just 40,000 tonnes.
Michael Jaeschke, president of the SA Durum Growers Association, says the crop e
stimates will continue to decline as harvesting begins.
"Unfortunately durum seems to be the first one to go out in a dry season like th
is," he said.
"There's a lot of durum on the ground now that's been cut down for hay and what'
s left there is really struggling to form any sort of grain.
Frost hits Tas orchards
Tasmania's fruit growers are bracing for heavy losses after frosts hit orchards
around the State overnight.
The full extent of the damage will not be known until later in the week, but ear
ly reports suggest severe losses of cherries, apricots and apples.
Steve Wilson from the University of Tasmania says orchardists in the State's sou
th have been hit hardest.
"Most growers won't be aware of whether they've suffered any damage until probab
ly late this afternoon or in the next couple of days," he said.
Exercise tests pandemic influenza response
Brisbane is hosting a national exercise responding to a suspected case of pandem
ic influenza.
The exercise follows a simulated outbreak of foot and mouth disease a couple of
years ago.
Queensland chief veterinary officer Ian Douglas says "Exercise Consumption" is t
he first of its size and scope anywhere in the world but is not directly linked
to bird flu.
"Health authorities have been concerned since about 2003 that the H5N1 type of i
nfluenza of birds, because there's so much of it about, that it may be the candi
date to mutate or change, that it can go in humans and therefore I guess, in the
back of everyone's mind, yes that's probably a scenario," he said.
Companies may have to look overseas to fill labour demand
Australia's resources sector says it will be difficult to find an extra 70,000 w
orkers over the next decade, estimated to meet its demand for labour.
A new report by a nationwide skills shortage working group shows that Western Au
stralia will struggle the most, with the minerals industry there demanding an ex
tra 42,000 jobs.
Reg Howard-Smith from WA's Chamber of Minerals and Energy says mining companies
may have to look overseas.
"I think one of the things that we will have to do is continually look at immigr
ation," he said.
"Immigration's not going to be the sole solution by any means, it's across the b
oard and as I say, working with the people that are here.
"But immigration is going to be an important element, I think, if we are to meet
these targets."
Meanwhile Australia's coal industry has been told it needs to properly coordinat
e its infrastructure needs if it i to reap the benefit of future exports.
A report released by the Australian Bureau of Agriculture and Resource Economics
(ABARE) warns against interstate rivalry over new port and rail facilities.
ABARE expects coal exports to rise to 435 million tonnes within 20 years, but sa
ys it is critical that new mines and infrastructure developments do come on stre
am.
Don Gunasekera from ABARE's minerals branch says despite moves to energy product
ion from sources such as LNG, coal will remain a mainstay of Australian exports.
Pineapple anti-dumping measures to be expanded
The Australian pineapple industry has had a win against cheap Asian imports.
Anti-dumping measures will be expanded over the next five years in a bid to stop

cheap processed pineapple being dumped on the Australian market.

Golden Circle chief executive John Cook hopes the new measures will improve dome
stic prices.
Aust producers may gain ground in US restaurant trade: analyst
A visiting US analyst says Australia's reputation for good quality beef could se
e exporters gain ground at the quality end of the coveted American market.
Australia's disease free status, reputation for quality and the National Livesto
ck Identification Scheme should help Australia sell more beef to the restaurant
trade rather than the traditional hamburger market.
The publisher of the US-based Cattle Buyers Weekly, Steve Kay, has this encourag
ing message for Australian producers.
Grazier fined over NLIS breach
For the first time in Queensland, a grazier has been fined for breaching the sta
te's new cattle identification system.
The National Livestock Identification System (NLIS) is an electronic system of t
ags for tracing livestock diseases back to the source.
Ron Glanville, from the Queensland Department of Primary Industries, says the gr
azier was taken to court over eight head of cattle that were discovered at Dalby
's saleyards without tags.
He says the man was fined $500 but no conviction was recorded.
King Is residents seek wave power study
Residents of King Island in Bass Strait are calling for a feasibility study into
wave power, in the hope that one day the island could be self-sufficient in ele
ctricity.
Australian-developed technology is currently being trialled at Port Kembla in Ne
w South Wales but King Island resident David Kerr says he would also like to see
it tested off King Island's coast, which is known for its blustery weather.
He says the island's position is ideal.
"We have an active wave climate here on the western side of the island in partic
ular, being at 40 degrees south in the path of the roaring forties," he said.
Grain companies to feel impact of drought
An agribusiness analyst predicts the unprecedented drought will wipe tens of mil
lions of dollars of profit off key grain handling and marketing companies.
Austock predicts Australian winter wheat production will be down 60 per cent on
the national five year average to 13.4 million tonnes.
Analyst Paul Jensz says while many key grain businesses have cut costs and ratio
nalised, it will not be enough to curtail the effect of the massive drop in grai
n volumes.
"Graincorp for instance will be the most impacted, it will have a negative profi
t of around minus $20 million for 07 in our estimates," he said.
Govt extends drought support package
The Prime Minister says the Federal Government is extending its drought support
package because it is not prepared to let the number of farmers in Australia dro
p below a critical level.
John Howard says Australia owes its character and history to its farmers and so
the Federal Government is not prepared to let the drought dramatically reduce th
e number of farms.
He has announced that in 18 already drought declared areas now irrigators, dairy
farmers and dryland farmers will be able to claim exceptional circumstances pay
ments.
Mr Howard has also extended income support and interest rate subsidy relief unti
l March 2008 to take account of the length of the drought.
International harvests extended
Less sugar was traded last week and the prompt March 2007 contract ranged betwee

n 11 and 11.87 US/ pound, and settled at 11.71 this morning. Queensland Sugar ma
rketing manager Paul Heeney says some of the other international sugar harvests
will be extended.
Collinsville mine waiting for final green light
After 10 years of exploration in the Collinsville area and 18 months of prelimin
ary development, Q Coal Pty Ltd is expecting to start serious construction early
next year. Situated in the Charters Towers mining district, the open cut mine i
s six kilometres south of Collinsville. Managing director Christopher Wallin say
s the final deadline for community objection to the project is November 8 and th
ey have applied for three, 30 year leases to support the open cut mine.
"We believe that there'll be over 100 jobs full time and during construction of
course there'll be several hundred jobs in the construction phase."
Grain price hikes felt from the trough to the plate
It's going to cost a lot more to put food on your plate, as the flow on effect f
rom a hike in grain continues down the line. As the State's overall supply dwind
les, it's not just the bigger agricultural industries like cattle feedlots feeli
ng the pinch, small time producers, egg farmers, bakers, and even coffee shops a
re being forced to increase their price to keep afloat.
Fiona Eastwell and her family has just bought an agricultural business near Town
sville and while it's too early for them to feel it in the north, their coffee s
hop and restaurant business in south-east Queensland has seen the consequences.
"We are considering pulling sandwich prices up, meal prices up- just a little of
everything over the board because it effects from making pikelets, from buying
in gateaus and cakes."
Jeff Ironside owns 12 Oaks Poultry, Townsville and manages 200,000 chooks to sup
ply eggs to a number of businesses. He's seen a huge increase in grain prices, a
s he buys over 5000 tonnes of grain annually and is looking at a rather dramatic
increase in his own prices to maintain a profit margin.
"Normally we're looking to stock up, but there's not a lot of grain on the groun
d and what there is, is as dear as poison."
David Henderson from Riverina Australia, a grain supplier based in Oakey in sout
h-east Queensland says there is a major shortage of sorghum, wheat and barley, a
nd as their product is sent to agencies all around Queensland can see the whole
industry from the paddock to the trough.
He says he hasn't seen a price hike as severe as this before.
NFF encourages support for farmers
The National Farmers Federation (NFF) says critics of the Federal Government's e
xtension to its drought support are ignoring economic reality.
Environmental scientists from the Wentworth Group and the Australia Institute sa
y the $350-million extension to the relief program is encouraging farmers to sta
y on unviable land.
But NFF president David Crombie says farmers must be supported, so when the drou
ght breaks they are ready to quickly ramp up production.
"I mean Australian agriculture contributes something like $103 billion into the
Australian economy, $30 billion in exports, 1.6 million jobs, we're achieving pr
oductivity growths of 3-4 per cent. Australian agriculture is very important to
Australia," he said.
Package welcomed
The exceptional circumstances (EC) extension is very welcome in the grazing coun
try from Canberra south to the Victorian border.
From Braidwood to the Snowy Mountains, graziers have been destocking and trying
to survive for several years on less than half average rainfall.
Brian Clifford, from the Cooma Rural Lands Protection Board, says governments ca
nnot do any more now for farmers, unless they can make it rain.
"At least they're recognising that they need the rural industry and it is a one
in one hundred or probably worse now," he said.

"I think it's great news what they have done and let's hope we get a break in th
e autumn."
But the first stage of the drought assistance package will offer relief to only
a handful of Queensland primary producers - about 14 farmers in the North Burnet
t region.
Queensland Farmers Federation executive officer John Cherry hopes future announc
ements will have more benefits for his members.
And Western Australian farmers have missed out altogether because a state drough
t assistance scheme ends at a later date than state aid elsewhere.
Meanwhile a prominent Australian researcher says the drought is even worse than
most of us think.
Professor Paul Perkins, from the Centre for Resource and Environmental Studies a
t the Australian National University, says our dry conditions are being mirrored
in places like the western United States, Spain and Portugal.
He says Australia must learn to produce twice as much food with half the water,
to help feed the world.
"It appears that in areas of the Northern Hemisphere, similar to ours, this summ
er just finishing has been much worse than 2002," he said.
"Which means you have got another bad summer coming in Australia, much worse tha
n any since European settlement in Australia.
Govt abandons Paradise Dam water tender process
A new way of marketing water to irrigators in Queensland appears to have failed.
Queensland Government-owned SunWater has abandoned the tender process for the sa
le of water from the new Paradise Dam in southern Queensland.
The 300,000 megalitre dam, currently at just 13 per cent capacity, is west of Bu
ndaberg on the Burnett River, but its water has attracted only limited interest
from irrigators.
Cane toads may head south with flooding rains
If the drought ends, with the traditional flooding rains, it could introduce an
unwelcome pest to the south-eastern states.
Frog expert Professor Mike Tyler says cane toads are already present in the sout
hern Queensland areas of the Murray Darling basin and will start moving downstre
am along the Darling when it floods, possibly as far as South Australia.
He says it is not a matter of if they head south, but when.
"The Murray system itself is really perfect environment for the cane toad," he s
aid.
"I'm not talking about the major river channel itself but instead the billabongs
along the side.
Iron ore prices forecast to increase
The head of Rio Tinto Iron Ore has forecast an increase in iron ore prices in th
e next round of international negotiations, due to get under way next month.
Chief executive Sam Walsh says while the Brazilians settled the price in the las
t round, Australia is the number two supplier in the world and is in a strong po
sition this time.
"The first part of the negotiations is, in fact, setting the scene, particularly
in relation to economics, GDP growth and obviously steel and iron ore usage," h
e said.
Mine expansion bond not enough: WWF
Traditional owners and conservationists have vowed to continue campaigning again
st expansion of the Northern Territory's McArthur River lead and zinc mine.
That is despite the Territory Government giving the green light for diversion of
the tropical river, to allow mining of one of the world's largest ore deposits
beneath the river bed.
Dr Stuart Blanch of the World Wide Fund for Nature (WWF) says the $55 million bo
nd will not be enough to safeguard the Gulf of Carpentaria.
"What can it do if there is major pollution spill into the McArthur?" he said.

"I have never heard any reasonable technical or engineering proposal that would
say for $55.5 million or in that ballpark, this is how we can recapture lead and
zinc or other acid or heavy metals that are escaped into the river that have be
en absorbed by fish or dugong, or turtle and polluted the sediment.
Frost hits cherry growers hardest
Severe frost has destroyed up to half of this season's fruit crop in Tasmania.
It has been confirmed that cherry growers have been hardest hit, with losses ran
ging from 30 to 80 per cent, while apple and apricot growers have also reported
heavy losses.
Domestic shortages are now expected in the coming months after frost also decima
ted Victoria's Goulburn Valley crop.
And Gerald Ellis, from the Vineyards Association of Tasmania, says some grape gr
owers expect to lose half this season's fruit.
US vows not to compete over Japanese beef market
The United States beef industry has pledged to try to expand the Japanese beef m
arket, rather than take market share from Australia.
Australia is currently hosting beef producers from the United States, Canada, Me
xico and New Zealand for the annual five nation beef talks.
The president of the US National Cattlemen's Beef Association, Mike John, says t
hey would rather grow a contracted Japanese beef market than compete against Aus
tralia.
"I don't really look at it as a competitive issue, I think that the entire beef
consumption is down in Japan - I mean regardless of where the beef comes from,"
he said.
Authorities monitor European bluetongue virus outbreak
Australian authorities are carefully watching an outbreak of the bluetongue viru
s in Europe.
Bluetongue is spread by biting insects and can kill infected livestock.
Richard Norris, from Western Australia's Department of Agriculture and Food, say
s while the virus also exists in Australia a new strain could affect Middle East
trade.
He says the latest outbreak has affected more than 700 cattle and sheep on the b
orders of Belgium, Holland, Germany and France.
"It's mainly affected sheep but it's also made some cattle sick and a few of the
m have died," Mr Norris said.
"Now this is the first time it's been recorded with credibility that cattle have
been sick with a particular strain of bluetongue.
Communities feel drought impact
A report has revealed 10 per cent of Queenslanders live in poverty and those in
regional and remote areas are among the most vulnerable.
The study was carried out by the University of Queensland's Social Research Cent
re.
Jill Lang, from the Queensland Council of Social Service, says 400,000 people in
the state are surviving on half the average weekly income.
"There are a number of reasons for this," she said.
Cloud juice headed for export market
Rainwater from Tasmania's King Island could soon become part of a Japanese tradi
tion.
King Island Cloud Juice, as it is retailed, is currently being sought after to m
ake the rice wine - sake.
Company director Duncan McFie says demand for the rainwater is increasing across
the world and expansion is likely.
"I had this idea years ago that just as King Island Dairy has a tanker that driv
es around and picks up all the milk, I had this little cloud juice tanker in my
head that drives around and picks up all the water," he said.

Boxer Bronco Johnson dies at 78

Australia has lost one of the last true boxing showmen, north Queenslander Don '
Bronco' Johnson, who died this week at the age of 78.
Bronco Johnson earned a reputation throughout Australia for his wild fighting st
yle, his courageous rodeo riding and his Errol Flynn moustache.
In the 1950s and 1960s he led a travelling 10-man boxing and rodeo troupe, takin
g on all challengers.
Troupe member Harry Grogan says it was a tough way to make a living, but he thor
oughly enjoyed working with 'Bronco'.
"Any time he fought he used to get the crowd in because they used to love him, t
he way he would swing at people and hit them from his knees," he said.
Parasitic wasps' project secures $4m
A research project into parasitic wasps has been awarded $4 million by the Natio
nal Science Foundation in the United States.
Professor Andrew Austin from Adelaide University will lead the international res
earch to examine and name the thousands of wasp species.
He says wasps are crucial for ecological balance and may be important biological
control agents in the future.
Concerns govt regulations limiting mining investments
The Western Australian minerals exploration sector claims government regulations
are costing the state billions of dollars in lost investments.
WA has recorded its lowest ever level of exploration spending, while other state
s, like New South Wales and South Australia, have almost doubled theirs.
Justin Wolawski, from the Association of Mining and Exploration Companies, says
Western Australia has a reputation as a difficult place to do business due to na
tive title and environmental constraints.
"The mineral exploration and mining industry takes up point zero three percent o
f the states land mass, it's a minuscule amount of the state," he said.
"But what's in front of mineral exploration and mining companies in some cases i
s approval of both houses of Parliament, approval from the Minister of Environme
nt, and then further impediments alongside there.
Abalone farm keen to restock after virus
An abalone farm is attempting to get its business back on track after the discov
ery of a herpes-like virus on the south-west coast of Victoria earlier this year
.
Port Fairy's Southern Ocean Mariculture voluntarily destocked three million abal
one to prevent the disease spreading.
The company says tests during the past six weeks have shown the farm is now free
of the virus.
General manager Mark Jervis says an application to move stock back onto the farm
needs to be approved by the Victorian Government
Old wives' tale confirmed, milk helps people sleep
If you have had a few sleepless nights over the continuing dry weather try a war
m glass of milk before bed.
A Dutch study has found that the amino acids found in milk not only make for a b
etter night's sleep, but also activate a hormone in the brain that makes people
more active in the morning.
Dairy Australia dietitian Maree Garside says it is really confirming what many h
ave known for a long time.
"They're suggesting that being alert in the morning may be due to a good night's
sleep and this serotonin, that's produced in the brain is sort of helped along
by having tryptophan in your food such as a glass of milk," she said.
"This is I guess a bit of research to back up something that we may have known f
or a while."
Meanwhile, Victorian scientists have found that the amount of feed a dairy cow e

ats does not affect its ability to withstand a longer lactation period.
Researchers believe extended lactation can makes cow healthier and give farmers
better cash flow.
Dr Martin Auldist, from the Victorian Primary Industries Department, says the fi
nding that no extra feed needs to be bought to sustain a longer lactation came a
s a big surprise.
Possibilities for GM cotton raised at conference
Northern Australian irrigators and researchers have not given up on genetically
modified cotton.
The crop has been excluded from the Ord Valley, by the Western Australian Govern
ment, and is banned in the Northern Territory.
But growers attending a national irrigation conference in Darwin want to plant i
t.
Researcher John Moulden says trials have proven GM cotton uses less water than e
xisting Ord Valley crops like sugar cane and bananas.
"We are not advocating cotton as the be all and end all for the Ord, it's just o
ne of the options we feel farmers in the Ord really need and deserve," he said.
"There's no scientific or environmental reason why GM cotton shouldn't be grown
in northern Australia - the issues have been extensively addressed.
Govt unveils quarantine changes
The Federal Government says changes to Australia's quarantine system, announced
today, will streamline assessment of imports.
The Agriculture Minister, Peter McGauran, says quarantine risk assessment proces
ses will be strengthened by more scientific scrutiny, as well as improved and ea
rlier consultation with importers and farmers.
Transporter's business booms as farmers send stock to Tas
Desperate Victorian dairy farmers are sending their stock to Tasmania.
One of Tasmania's biggest livestock carting contractors, Page Transport, is brin
ging up to 40 loads of cattle a week from Victoria, including some dairy cows st
ill in milk, to be agisted on the north-west coast.
The company's operations manager, Chris Page, says it is an unfortunate conseque
nce of the drought that his business is flat out.
"The transport industry in Tasmania will be busier through a drought, which like
it or not that's our stance on it, but it is an awful thing," he said.
Pool arrangements 'don't secure' growers
The Grains Council of Australia says new trust arrangements for the national poo
l, which make AWB Limited the sole beneficiary of the trust, will not protect th
e financial interests of growers.
AWB National Pool Trust Pty Limited has been set up to quarantine the liabilitie
s of each pool within that national pool, starting with this financial year.
But Grains Council chairman Murray Jones says the arrangement does nothing to ch
ange the status of growers from unsecured to secured creditors.
"Our legal advice is telling us that because they've made AWB Limited a benefici
ary of the trust then that doesn't really achieve what we aimed to do, which was
to ensure the growers and the pool participants were the secured creditors," he
said.
"Growers today are really focussed on how serious the drought is. They are reall
y doing it tough, and we need to do whatever we can to preserve their equity in
this current pool."
But the chairman of AWB International, Ian Donges, says the Grains Council has g
ot it all wrong about the new trust.
He says growers will enjoy more financial security, not less.
"The reason we went down the trust path is that we wanted to give pool participa
nts additional protection against any unforeseen liabilities," he said.
Coalition split over AWB's single desk

The Deputy Prime Minister, Mark Vaile, says a split between Coalition MPs, on wh
ether the single desk wheat export system should be scrapped, is just a symptom
of a healthy debate.
In the wake of Cole inquiry evidence about AWB kickbacks to Iraq, up to six MPs
including Wilson Tuckey, have called for the end of the single desk.
But Nationals members, including Senator Barnaby Joyce, say it must be maintaine
d.
Mr Vaile says the Government is considering all the views of MPs and Senators, a
long with wheat grower groups.
"We really do need to wait until Cole reports, which is about a month away, and
have a look at what the recommendations are and what the outcome of the inquiry
is and how that affects the whole structure," he said.
"We don't want to be making decisions that may be seen as knee-jerk reactions an
d then have to go through another set of changes if there are particular recomme
ndations coming out of Cole."
Liberal Senator Bill Heffernan says that, while he supports a single desk, it is
debatable whether AWB is the best company to run it.
Natural Resources defends water cutbacks
The NSW Department of Natural Resources has defended the way it cut back water a
llocations to 80 per cent for Murray Valley Irrigators. The announcement on Sund
ay shocked many farmers because it came without warning. Executive director for
water management David Harriss explains it has been a complex issue to work thro
ugh. He claims they could not flag the cut in entitlement to irrigators because
it would have breached commercial confidence. The reductions will apply only to
water still in users' accounts, and aren't calculated on the full entitlement.
Abalone farm
A Port Fairy abalone farm has been working hard to get its business back on trac
k after being affected by the abalone virus that affected the south-west earlier
this year. Southern Ocean Mariculture voluntarily destocked to prevent the dise
ase spreading further and now has no commercial stock on the farm. The company h
as been running a sentinel trial for the last six weeks to see if there are stil
l any diseases outside the water of the farm and the results have come back nega
tive. Sarah Farnsworth caught up with general manager Mark Jervis to find out wh
at process is now taking place so the farm can be restocked.
Fishing licence buyback scheme will secure industry's future: Abetz
The federal Minister for Fisheries, Eric Abetz, says he is confident the Governm
ent's fishing licence buyback scheme will secure the industry's future, despite
continued illegal fishing in Australian waters.
He is particularly encouraging Bass Strait scallop fishers and northern prawn fi
shers to apply to have their licences bought out in the second round opening lat
er this month after most of their tenders were unsuccessful.
Senator Abetz says significant successes are being made in stopping illegal fish
ing.
"I think we are slowly but surely getting on top of illegal fishing," he said.
"In northern Tasmania, as the time we speak now we've caught 308 vessels this ca
lendar year.
Greens call for climate change inquiry
The Greens are calling on the Federal Government to establish a Senate inquiry i
nto the implications of climate change for the future of Australian agriculture.
The party says climate change could profoundly affect rural communities and is v
ital to get a clear picture of what steps can be taken now to minimise the impac
t.
The chair of the Senate's rural and regional affairs committee, Senator Bill Hef
ferenan, has indicated he will take the Greens proposal to his Liberal partyroom
.
Greens Senator Rachel Siewert is hopeful there will be enough support for an inq

uiry.
"We also want to look at what we can do about it, what are the adaptation strate
gies needed to deal with these impacts on our rural communities to ensure that t
hey are viable," he said.
Unsold sheep to be taken to the tip
Sheep could be buried in a pit if they are not sold at a South Australian livest
ock market.
Prices for older sheep are plummeting in the saleyards, with a lack of buyers du
ring the drought.
One of the state's biggest saleyards, Naracoorte, has drawn up contingency plans
. Any unsold sheep will be placed in a pit at the local tip.
Denis Hovenden from the Naracoorte Lucindale Council says stock agents and the c
ouncil are trying to prevent unsaleable sheep from coming into the yards. But un
der the current regulations, stock cannot be returned to their owners if they ar
e not sold.
He says no one wants to put the plan into action, but there is very little choic
e.
"At this stage it is very much an unknown," he said.
Compo for Murray Valley irrigators ruled out
The New South Wales Government has ruled out compensation for Murray Valley irri
gators affected by water cut backs.
High security allocations and carry over water in the Murray Valley have been cu
t by 20 per cent because of record low inflows.
The Natural Resources Minister, Ian Macdonald, says the water will be paid back
in future, so there is no need for compensation.
He says more measures to help the farming community will be announced in the nex
t fortnight.
Drought dominates National Field Days
New and innovative ways of coping with the drought are the most popular exhibits
at this year's National Field Days, currently under way at Orange in central-we
stern New South Wales.
Amazingly, the long-running drought has not dampened the spirits of those attend
ing the National Field Days at Borenore.
It is the oldest field days in Australia, running for 55 years.
Organisers say exhibitor numbers and attendance levels are very similar to last
year, with 30,000 expected through the sun-drenched gates to the parched earth o
f the Field Days site.
The hot topics being debated in forums there include managing the risk of climat
e change.
Graincorp backs call for end to AWB wheat export monopoly
One of the nation's biggest private grain traders has backed calls for AWB to lo
se its monopoly for wheat exports.
Western Australian Liberal MP Wilson Tuckey is spearheading a campaign to disman
tle the single desk for wheat exports, in response to speculation that AWB will
make significant trading losses this season.
Tom Keene, managing director of Graincorp, will not directly criticise AWB. But
he says growers would do better if other companies were allowed to trade in expo
rt wheat.
"It would be wrong of me to comment on the AWB's hedging arrangements," he said.
"My reaction has been and continues to be that a marketplace that has more compe
tition in it would ensure that growers could choose who they sell their grain to
, just as they currently do with their other grains.
Ecuador hopeful banana import ban will be lifted
Ecuador and other banana exporting countries are hopeful the ban on Australia im
porting bananas from the Philippines will be overturned before the end of the ye

ar.
The Australian Banana Growers Council says Biosecurity Australia has changed its
position on the issue several times, but it must take account of the dangers of
Moko disease in its current import risk analysis.
Ecuador's Ambassador Antonio Rodas Posso says if Filipino imports get approved,
it will make the application process easier for other countries.
"We have heard that you right now, the Australians, are making research on anoth
er kind of banana from another country," he said.
Incidence of breast cancer higher in rural women: UK study
A British study has found that rural women are three times more likely to suffer
from breast cancer.
But Australian researchers say this contradicts with their findings, which indic
ate the incidence of breast cancer is highest in cities.
John Harding, head of the health register and cancer monitoring unit at the Aust
ralian Institute of Health and Welfare, says the statistics show that women in r
emote Indigenous communities have the lowest incidence of breast cancer.
"There is a protective effect for breast cancer for women who have children earl
ier and then breast feed for long periods of time," he said.
Cherry research, development levy increases
Australia's cherry growers have voted to increase their research and development
levy by three cents.
They will now contribute four cents per kilogram, with the industry expecting to
raise about $280,000 a year.
The secretary of the Cherry Growers Association, Trevor Ranford, says the rise i
s long overdue.
Cattle, sheep export deaths rise
The numbers of cattle and sheep deaths in export shipments has risen slightly in
the first six months of this year, compared to the same period last year.
Department of Agriculture reports tabled in the Senate say cattle deaths rose fr
om 1.3 in 1,000 to 1.4.
Sheep deaths rose from six in 1,000 to eight.
Deaths of goats rose from 11 in 1,000 to 13.
But the federal Agriculture Minister, Peter McGauran, says animal management mea
sures at ports and on live export ships have improved dramatically.
"Especially the inspections at the feedlot and also before the stock board the s
hip, in transit where there's a requirement for a vet, reporting daily back to A
QIS, with the oversight of an experienced stockman, the improved feed and wateri
ng systems [and] the best ships in the world," he said.
Uranium industry heavily regulated: ERA chief
The head of the Ranger uranium mine in the Northern Territory says new entrants
to the uranium industry should prepare themselves for zealous government regulat
ion.
Harry Kenyon-Slaney, the CEO of Energy Resources Australia (ERA) which runs Rang
er, says his mine is one of the most stringently regulated in the world.
He says the red tape comes at a price and is definitely not for mining companies
who want to cut corners.
"Frankly, uranium mining is just like any other mining," he said.
"It has some specific issues that need to be managed, just as ... other differen
t mining operations do.
Drought may affect dairy foods supply, exporter says
A Victorian-based exporter and processor of dairy foods has told a conference in
Sydney that Japan is concerned about Australia's capacity to ensure long-term s
upply because of the drought.
Burra Foods says Australia exports nearly $23 billion of food and beverages a ye
ar, with Japan taking 20 per cent of that.

But chief executive Grant Crothers says while Japan has been a loyal customer of
Australia for two decades, it is now worried about the continuing dry condition
s.
"Security of supply for any country that can't feed themselves is a big issue an
d their self-sufficiency on food is down to about 40 per cent and they know they
need to buy food outside Japan," he said.
Senate committee backs guest worker scheme rejection
A Senate inquiry has rejected farmers' arguments that Pacific islands guest work
ers should be allowed in to ease a national shortage of harvest labour.
The Senate committee's report supports the Federal Government's view that a new
visa is not needed for seasonal farm workers.
Inquiry chairwoman Judith Troeth says extensive hearings suggested farmers could
find Australian harvest labour if they paid better wages and offered adequate w
orking conditions and accommodation.
"The guarantees that we were given that there would be suitable accommodation an
d enough work for labourers coming in Australia - the confidence there was proba
bly misplaced," the Victorian Liberal Senator said.
"Experienced pickers who are Australian told us that it is often quite difficult
to get a good wage on the present piece rate that exists."
The body representing fruit and vegetable growers in north-west Australia is fur
ious about the inquiry's findings.
David McKerrell from the Kimberley Primary Industries Association says it is not
pay and conditions that are putting workers off in Kununurra in north-west West
ern Australia, it is the heat.
He says many farmers in the district already pay above award wages but it is not
helping.
Mr McKerrell wants the Federal Government to make exceptions to allow Pacific Is
landers to work in hotter climates like the Kimberley.
"Up in Kununurra at present, when it's 38 degrees everyday, it's not pleasant wo
rking," he said.
"And if these people were around that Senator Troth says there are, surely they
would be here.
"There's mangoes here dropping on the ground.
"There's no one available and they're not here, and the reason they're not here
is because it's too hot.
"They're not acclimatised to it and that's the end of the story."
Isis Shire Mayor Bill Trevor gave evidence to the Senate Committee when it visit
ed Queensland's fruit and vegetable growing Bundaberg and Childers region early
this year.
He says the inquiry has hardly looked at the many barriers that farmers face in
getting workers.
"There is a need within the farming community to be able to access labour and it
's very, very difficult at times, especially in peak production periods, for far
mers to pick up that extra labour," he said.
Meat and Livestock Australia (MLA) has launched a national advertising campaign
to lift domestic beef sales by $300 million over the next three years.
The $2.8 million promotion will involve television, radio, newspaper and magazin
e advertisements starting from this Sunday.
MLA spokesman David Palmer says it has been seven years since beef has been prom
oted and it is important to keep consumers thinking about it.
"The ambition over a lengthy period through until 2009/2010 is to to increase th
e frequency of beef consumption from 2.3 meals to 2.6 meals per week," he said.
"There's a TV advertisement which is a bit quirky, a little bit of humour, that
takes up back to the beginning of Australia, the beginning of white settlement i
n Australia.
"You know it's just a good story about beef and summer, and barbeques."
And as part of a new marketing plan for King Island beef, the product is now bei
ng used in gourmet meat pies sold at the supermarket.
Traditionally, only cuts such as eye fillet and porter house have attracted a pr

emium price for the King Island brand.

Tasman Group marketing manager Lydia Horsburgh says the pies will open up the pr
oduct to a wider group of shoppers.
Young cattle prices slip
Young cattle values in eastern Australia have slipped to their lowest level in t
hree years.
The eastern young cattle indicator fell 29.5 cents in the past week to finish ye
sterday on 267 cents per kilogram carcase weight.
That means the indicator has fallen 28 per cent since January.
Southern Queensland livestock agent Noel Grant says he is not surprised as beef
producers run out of feed and water.
"It's something we expected to happen," he said.
"The confidence has gone out of the store market generally.
Drought relief package changes expected
The Deputy Prime Minister, Mark Vaile, is expected to announce another major dro
ught relief package next week, extending assistance to more farmers, their famil
ies and rural businesses.
The package is expected to bring Federal Government drought spending to more tha
n $2 billion.
The Federal Government says further changes to its drought relief package will m
ean thousands more farmers in more regions will become eligible for exceptional
circumstances drought assistance.
It is already encouraging the South and Western Australian state governments to
apply for EC status.
It has also listened to calls from Coalition backbenchers for help for farm-rela
ted businesses, extra measures to combat rural depression and more emergency ass
istance for rural families.
Locusts threaten Nullarbor crops
It had appeared that crops near the Nullarbor in South Australia's far west look
like being some of the best in the nation because they had received reasonable
rain.
But now they are under threat from locusts and local farmers say they are not ge
tting the help they need from the State Government.
Brian Smith from Coorabie, west of Ceduna, says newly hatched locusts are wreaki
ng havoc on crops.
"For the last week at least we've been flat out trying to keep them out the crop
s as they ripen," he said.
"A lot of the crops in the district now have sort of ripened, but any crops that
are a bit later have taken a fair old hammering.
"One farmer I think is probably going to give up on a 400 or 500 acre paddock of
barley.
South-west NSW residents pray for rain
Residents of south-west New South Wales have turned to prayer to break the droug
ht.
Farmers and town folk have been united at ecumenical church services.
More than 100 people came together in Wagga to call for rain, while another inte
r-faith prayer service took place in Leeton.
Pastor Michael Skewes says aside from the spiritual value of prayer, it was a st
rong show of support for those on the land.
"I think for the farmers that were here - we saw a number of hands go up and say
'yeah, we're farmers' - for them to know that the Wagga community, we in the ci
ty really do care for what they're going through I think that's got enormous val
ue as well," he said.
In complete contrast, land clearing fires raging across Kalimantan and Sumatra c
ould be prompting increased rain across the Top End.
Over the past 50 years, some station rainfall has increased by up to 300 millime

tres.
Climatologist Sam Cleland says rainfall in parts of the Victoria River district
and Kimberley is increasing by 50 millimetres per decade
"It's potentially that it's not a direct result of greenhouse gases," he said.
"It might even be due to increased pollution over South East Asia changing the t
emperature structure of the atmosphere and the temperature gradient between nort
hern Australia and South East Asia in our summer season.
Grain president resigns after single desk comments
Wrangling over the single desk's future in the nation's largest grain growing st
ate has claimed a scalp.
Earlier this week, the Western Australian Farmers Federation's grain president,
Ray Marshall, released a new and alternative policy position, urging the single
desk be maintained.
But, at least for this season, he urged that the power of veto be removed from A
WB and transferred to the Wheat Export Authority.
The statement has divided group members.
Calls for Biosecurity Aust to be independent authority 'out of line'
A war has broken out over changes to the controversial import risk assessment pr
ocess.
The federal Agriculture Minister, Peter McGaruan, announced this week that from
next year there will be greater scientific scrutiny of the import risk assessmen
ts, a regulated time frame and more regular consultation with farmers.
While the National Farmers Federation says the bulk of its members support the n
ew protocols, chief executive Ben Fargher says calls by NSW farmers for Biosecur
ity Australia to be made into an independent statutory authority are totally out
of line.
"It is always so important to have unity when talking to government," he said.
"Disunity when dealing with government is death.
Grape growers welcome trade act changes
Farmers and small businesses have welcomed the passing of amendments to the Trad
e Practices Act, which simplify collective bargaining.
Murray Valley Winegrowers has been calling for the changes for the past three ye
ars.
Chief executive Mike Stone says growers will now be able to genuinely negotiate
with wineries.
"Usually grape buyers give growers a price in say January and unless there's a d
ispute resolution provision that allows growers to dispute those prices they are
taken as a given," he said.
"It's a take it or leave it proposition often.
CSIRO NT plant research division closed
The Northern Territory will no longer host a division of CSIRO's plant industry
research.
That is despite increased interest in northern agriculture with its good water s
upplies, and $1 million from the Territory Government to improve the laboratory.
Darwin residents encouraged to save water
People living across tropical northern Australia are also being urged to conserv
e water.
Darwin residents use more than twice the national average amount of water, but i
t is hoped converting gardens to suit the dry tropics will help reduce water use
.
Some politicians, like independent Gerry Wood, are also calling for small dams t
o be developed in the Daly region, south-west of Darwin.
"I think we have to look at things differently, whether you collect water in off
farm dams during the wet season, to pump out in the dry," Mr Wood said.
"There is certainly potential on the Daly to increase the amount of food.

Drought fails to deter banks from lending

Despite the drought, the banks are still keen to lend to farmers.
Queensland property valuer Kerry Herron says he believes the property market wil
l come back due to the poor seasonal conditions.
He says the boom in recent years has increased landholders' equity and the banks
are particularly willing to lend to buyers in the wetter northern regions.
"Cattle is still the flavour of the month and they're still offering very big te
rms," Mr Herron said.
"We have heard instances of up to 30 years interest only payments, certainly 10
and 15 years interest only is common.
Climate Institute urges more action on greenhouse emissions
The farmer-funded Climate Institute has launched a national advertising campaign
, calling on the Federal Government to do more to reduce Australia's greenhouse
gas emissions.
The organisation says the drought has been intensified by climate change and a n
ational carbon trading scheme and increased mandatory renewable energy use targe
ts are needed.
In his weekly online radio message the Prime Minister, John Howard, says the Gov
ernment is spending $2 billion on reducing climate change.
But the Climate Institute's founder, beef and sheep farmer Mark Wootton, says th
ese measures are not working because greenhouse emissions are increasing.
"Under what is put forward at the moment our greenhouse, the Australian governme
nt's current policies, increased emissions by 10 per cent over the last decade a
nd it will increase them by a further 17 per cent by 2020 unless we change what
we are doing," Mr Wootton said.
Analyst promotes forests as answer to energy supplies
An Australian analyst has dismissed the push for more ethanol and biodiesel prod
uction, saying Australia's energy future lies in wood.
Barney Foran, a visiting fellow at the Australian National University, says plan
ting 60 million hectares of forests could provide up to 90 per cent of future tr
ansport fuels, and 20 per cent of future electricity needs .
He says many different species of wood could be used, including native trees, an
d this could provide another source of income for farmers in tough times.
Mr Foran says fuel processing plants should be built in regional areas.
"The key here is that we don't cart wood long distances or else we lose both the
economic advantage or more importantly the energy advantage," he said.
Farm Institute report urges rethink on marketing
An independent farm think tank says the Australian farmer's share of world agric
ulture exports has fallen by almost $3 billion in a decade.
An Australian Farm Institute report, released today, shows Chile and Brazil's ag
riculture exports doubled in the 10 years to 2004, while Australia's exports gre
w by only half that amount.
Report author Selwyn Helibron says farmers must focus on how to market their pro
duct to their customers, or continue to lose market share.
Crews battle fire near Bathurst
Fire authorities in New South Wales are still trying to control a bushfire north
-west of Bathurst.
The fire has burnt 1,400 hectares of grazing and scrub country, threatening a nu
mber of houses.
The fire jumped containment lines over the weekend, but was quickly brought back
within the lines, by ground crews.
Suspension of WTO talks hampers US efforts to fight AWB
The suspension of World Trade Organisation (WTO) talks is making it harder for U
S farmers and trade officials to take action to try to end AWB's monopoly for ex

porting Australian wheat.

The last Doha round draft called for banning or phasing out single-desk monopoli
es, like AWB, by 2013.
But with WTO talks suspended since July, American Farm Bureau trade adviser Dave
Salonsen says there is no way for the US to fight AWB.
"If they are operating according to WTO rules, as they exist now and you can't s
ee that they're somehow not following them, there's not much opportunity, potent
ially, to go through a dispute settlement," Mr Salonsen said.
Australia agreed in its bilateral free trade deal with the US to address single
desk trading in the WTO round.
30,000 cattle imported to Indonesia for Ramadan
At least 30,000 imported cattle have been sold across Indonesia for the Islamic
festival of Ramadan.
The last fast will be broken this evening and the food festivities begin with pr
ayer tomorrow morning.
Greg Pankhurst from Agrogiri Perkasa, the largest importer of Australian cattle,
says he expects 20,000 cattle will be sold in the coming days.
But he says feedlot sales have still been slower this year.
"We haven't been run off our feet in any way," Mr Pankhurst said.
"We have gone from our traditional 100 a day to 200 a day, which is normal.
"So I have 100 per cent increase in sale but the next three or four days we won'
t sell anything because most people have their meat stocks in hand.
"Traditionally after Labaran, which is tomorrow and Wednesday we will see a litt
le bit of an increase over and above our normal sales. So we will probably sell
about 120 to 140 a day."
Livestock prices slump
Sheep and cattle prices have slumped across the nation, as farmers offload stock
they cannot feed.
Sheep have lost nearly 75 per cent of their value in the past four weeks.
Yardings in all states have increased substantially, with the southern states hi
t hardest.
Travis Parsci, from the National Livestock Reporting Service, says the falls are
drastic.
"In the last fortnight we've probably seen 20 to 30 cents shaved off a lot of av
erage prices. We have seen a lot of the plainer grades suffering even larger fal
ls," he said.
"It's been caused by the large number of cattle coming onto the market, as every
one's aware, by the dry condtions, the lack of water in particular and also a la
ck of feed that a lot of producers are faced with at the moment."
The drought is also pushing wool prices up.
News of Australia's plight is prompting wool buyers to stock up for fear that su
pplies will run out.
The southern market indicator rose by up to 18 cents at last week's national sal
es, the biggest weekly rise since January.
Tony Kidman from Quality Wool in south Australia, says buyers also want to avoid
buying drought-effected wool, which is less strong than other wool.
Campdrafting Council seeking national endorsement
Campdrafting officials say they are hopeful a bid to have their sport recognised
by the Australian Sports Commission will be successful.
The National Campdraft Council of Australia says while the sport was developed i
n Australia, it still needs to go through the process to become a national sport
ing organisation.
Council president Peter Cookson says that recognition is very important to the s
port's funding and future.
"It's giving campdrafting credibility, to have things such as a code of conduct
for animal welfare, member protection policy for the protection of our members a
nd their committees and things like that," Mr Cookson said.

Testing finds Aust wildlife free of bird flu

Ongoing testing across Australia's most susceptible regions have found no eviden
ce of the new lethal strain of bird flu in wildlife.
Last year the H5N1 strain killed thousands of water fowl in China and this year
it spread from birds to humans in Indonesia.
Dr John Curran, from the Australian Quarantine Inspection Service, says continui
ng trapping and testing of wild birds across northern Australia has so far faile
d to isolate any live influenza viruses.
"But by the same token we're still concerned that the global epidemic is continu
ing and that this has actually come closer to, the epidemic has come closer to A
ustralia through Indonesia," Dr Curran said.
$5m study to determine Gippsland groundwater decline
The Federal Government has provided $5 million for a study to find out once and
for all what is causing declining groundwater levels in Victoria's south Gippsla
nd.
A study by the CSIRO two years ago found subsidence of the Latrobe aquifer was c
aused mostly by offshore oil and gas production.
Now the Department of Sustainability will conduct further research to see if irr
igators should be compensated.
Bill Bodman Senior, from the Victorian Farmers Federation, says the aquifer has
been dropping at the rate of one-metre a year for the last 40 years costing farm
ers thousands of dollars.
"The huge extra cost of lifting the water up the extra distance, that's the majo
r cost in bringing water to the surface," Mr Bodman said.
Canola crop failure drops yield forecasts
The Australian Oilseeds Federation says canola yield forecasts for 2007 are the
lowest for a decade.
The estimate for this year's crop is just 561,000 tonnes, due to the failure of
many crops across the nation.
Graincorp to ship wheat to eastern states
Graincorp is preparing to ship 1 million tonnes of wheat from Western Australia
to the eastern states, as harvests fail in New South Wales, Victoria and Queensl
and.
The bulk handler will require approval from the Australian Quarantine and Inspec
tion Service to convert export terminals on the eastern seaboard to import termi
nals to receive the grain.
Graincorp's Sam Tainsh says the grain will be transported by rail as well as sea
.
"Graincorp is making a number of inland depots available for large volume rail d
ischarge," he said.
Murray Irrigation to introduce cost cutting measures
The country's largest private irrigation company, Murray Irrigation, expects to
lose several million dollars this financial year because of the drought.
The company will introduce a four day week from mid-November, reduce its weed co
ntrol programs and defer maintenance in a bid to cut costs.
General manager George Warne says directors' fees will also be reduced by 20 per
cent.
New drought relief package not enough: irrigators
Irrigators say new Victorian Government drought relief does not go far enough.
The Victorian Government has announced a $5,000 rebate for farmers who received
less than 50 per cent of their water allocation.
Farmers still pay water authorities even when they do not receive water, due to
the cost of maintaining irrigation channels.
Chair of the Northern Victorian Irrigators, Dudley Bryant, says with most large

dairy and cropping farms paying bills around $30,000, the Government's offer wil
l only make a small difference.
"They have recognised there's a problem there," he said.
"They have actually said now that they'll pick up the cost of water even though
there may be a lot of small hobby farmers and whatever, and I'm not trying to sa
y they should or shouldn't be in it but they are.
NSW irrigators fight for water fee relief
Irrigators in New South Wales are currently having no joy in receiving assistanc
e for their fixed water charges.
Only one inland valley has received a general security allocation this season an
d there are demands for fee relief across the state.
Chairman of Jemalong Irrigation Ted Morgan says the New South Wales Government m
ust develop its own assistance package for irrigators.
"What we're really looking for is where a set of rules is set up for the valleys
where, when you have zero allocation some sort of principles kick in like excep
tional circumstances," he said.
AWS announces loss
The wool industry's grower-funded marketing arm has posted a $316,000 annual los
s.
Australian Wool Services' (AWS) chairman Barry Walker says the company's Woolmar
k brand and market research divisions both returned profits.
But its processing section, Andar, returned a deficit and the company's substant
ial debt to a UK pension fund drained $1.3 million from the business.
Mr Walker says the organisation is battling the effects of the drought and would
be deeper in debt if it had not cut costs earlier in the year.
"I think the management did a huge job to reduce the costs against decreased inc
ome to actually get us to a loss factor in the finish of $300,000," he said.
"We're finding that the whole wool chain, from farm right through to retail, is
extremely difficult.
Govt considers inquiry into forest certification schemes
The Federal Forestry Minister, Eric Abetz, says a push by international green gr
oups to reclassify the sustainable status of Australian timber poses a serious t
hreat to exports.
He says he may set up an inquiry to investigate the disparity between classifica
tion systems used to grade old-growth logging in Indonesia, PNG and Australia.
Senator Abetz says the Government is determined to resist a push by the Mexico-b
ased Forest Stewardship Council for Australian timber to lose its 'A' rating amo
ng some European customers.
"These groups are then bad mouthing Australia's forest products in countries lik
e the United Kingdom and Belgium," he said.
Growers back forest biofuels industry development
A national group representing commercial and private forest growers has thrown i
ts support behind the development of a forest biofuels industry.
Australian Forest Growers is holding its international conference in Launceston
this week and the association's president, David Geddes, says such an industry c
ould be an opportunity for drought-affected farmers.
He says trees are less susceptible to drought than other crops and the wood thin
nings would be a valuable source of biofuel.
US beef exports to Korea delayed
A technical issue is delaying the resumption of US beef exports to Korea.
US packers had hoped for an agreement with South Korea on a "bone chip" definiti
on this month after the Koreans agreed in early September to resume imports of U
S boneless beef.
US Agriculture Department deputy under-secretary, Chuck Lambert, wrote to the Ko
reans over a month ago and has not had a response.

"The producer segment in Korea's been very opposed to reopening the market, so t
here is a lot of political pressure in opposition to reopening the market, but t
he agreement has been that we would open for boneless beef," he said.
But the Koreans have said they will have zero tolerance for bone chips.
Industry, Govt urged to take mining exploration seriously
The mining industry says Australia is sending billions of dollars overseas becau
se of a lack of incentives for local exploration.
Australian companies are at the forefront of an exploration boom in regions like
Africa and South America, which offer attractive tax and cost incentives.
While mineral exploration worldwide has hit a record high of more than $US5 bill
ion annually, Australia's share has halved in 10 years.
Justin Walawski from the Association of Mining and Exploration Companies says it
is time for industry and the Government to take the issue seriously.
Captive breeding set to boost tuna stocks
A South Australian company says it could duplicate Australia's entire wild catch
of more than 5,000 tonnes of tuna within a decade through captive breeding.
This follows the successful airlift of nine southern bluefin tuna from offshore
sea cages into a $6 million tank built by Clean Seas Tuna at Arno Bay.
The fish will be used to spawn millions of eggs for harvesting in the world's fi
rst captive breeding program for the species.
Chairman Hagen Stehr says he could not put a price on the brood stock.
Hobby farmers work on solving sheep shearing problem
It is hard to find a shearer if you are a hobby farmer and perhaps have just hal
f a dozen pet sheep.
But the growing number of hobby farmers in Western Australia's south-west are wo
rking on the problem.
The local community of Manjimup had its sheep shorn, drenched and de-loused for
a small fee, with all proceeds to be donated back into the community.
Local shearer Ron Nivon says it is the best way to handle the region's increasin
g number of pet sheep.
"This is the best thing that ever happened. I think we've been doing it for over
20 years. It's a great cause," he said.
"You don't have that phone ringing and nuisance phone calls asking for five or s
ix sheep shorn when you should be out doing three or 4,000 sheep.
CBH set to launch wheat export pool
Australia's troubled wheat exporter AWB has another force to deal with today wit
h Western Australia's largest grain bulk handler, CBH, attempting to launch a wh
eat export pool of its own this harvest.
As Western Australian growers consider how they will sell their wheat crop this
season, the company today has launched an export licence to test the power of ve
to that AWB has over its single desk licence.
A previous attempt and subsequent appeal by CBH last December were lost.
CBH chief executive Imre Mencshelyi says the new move will not undermine the sin
gle desk and will put more money into growers pockets this season.
"We've agonised over that decision for sometime and today we're launching the CB
H wheat pool for 2 million tonne volume for West Australian grain growers," he s
aid.
"At the end of the day we recognise there'll be divided opinion on what we'll be
putting out in the market place but the growers will have this opportunity to d
eliver and they'll vote by their actions."
AWB's Ian Donges says that the export application is an attack on the single des
k, and will not necessarily result in growers being paid a higher price over the
life of the proposed CBH pool.
Meanwhile, AWB has increased its new season pool returns for premium wheat to $2
45 a tonne, up $5.

Gold mine operator agrees to provide water to farmers

Farmers have had a breakthrough in their dispute with the new Lake Cowal gold mi
ne in the central west of New South Wales, which has had a dramatic impact on lo
cal bore water levels.
The water level has dropped from 20 metres to 50 metres below ground level.
Lachlan Valley Water's Mary Ewing says the company has now agreed to provide sto
ck and domestic water to farmers, if the water table continues to drop.
"One of the requirements is that if those trigger levels are approached, you hav
e to continue to supply the impacted stock and domestics," she said.
"So while there is water there I guess stock and domestic will be maintained.
Anger over latest drought assistance
Farm-related businesses are angry they have been left out of the Federal Governm
ent's extended drought assistance package.
An extra $560 million has been allocated to extend assistance to 10,000 more far
mers in five states, on top of last week's $350 million announcement.
The president of the Australian Contract Harvesters Association, Peter Bradley,
says agriculture-reliant businesses, like harvesters, are also struggling to sur
vive the summer.
"We've been asking and asking and asking the Federal Government for some assista
nce, but it's got to the stage where it's totally and absolutely critical at thi
s stage that we do at least get interest rate subsidies on our financing."
But the drought package has been welcomed by the National Farmers Federation and
the Association of Rural Financial Counselling Services.
And the Country Womens Association president, Lesley Young, says the $4 million
her organisation has received will allow it to revive emergency aid programs.
Lower canola yield a boosts returns
The huge drop in canola production has sent prices up as high as $555 a tonne at
east coast ports, almost double last year's returns.
Canola yield forecasts for 2007 are the lowest for a decade due to the drought,
down to just 561,000 tonnes, a third of the size of last year's crop.
Australian Wheat Forecasters analyst Ron Storey says canola will have to be tran
sported from coast to coast to meet crushing requirements.
"Most of the canola crop this year will be in Western Australia, we look like ha
ving you know something under half a million tonnes of canola in total and more
than half of that is going to be in WA," he said.
Farmers to import alternative dairy cattle feed
Dairy farmers will continue to use alternative feeds such as palm kernel meal as
grain supplies tighten.
Farmers in Victoria say grain prices have jumped from $215 to $360 per tonne in
recent weeks.
Brian Bailey, from grain price monitoring company AWF, says dairy farmers will h
ave to import more of the alternative feeds.
"You can get the requirements of energy protein and amino acids from products su
ch as palm kernel meal which comes from Malaysia," he said.
Grain price rise hits chicken producers
Increased grain prices are also affecting chicken meat producers and processors.
Philip Schmidt from the South Australian Farmers Federation says grain makes up
the largest expense for producers, who will struggle to cut costs elsewhere.
"The cost of grains is rising quite significantly over the last year to approxim
ately nationally about 80 per cent already increase," he said.
Wine glut prompts call for structural change
A new report on Australia's wine industry says our stocks have ballooned to an e
stimated two billion litres, as global wine production grows faster then demand.
The study by the Australian Bureau of Agricultural Resource Economics also warns
Australia has no ability to influence the world wine market, because it has onl

y 5 per cent of global production.

Chris Byrne, from the Riverland Wine Grape Growers Association, says serious str
uctural change is needed.
"We're producing more than double the amount of wine grapes we need from those r
egions that cannot afford to grow popular premium products," he said.
"You have to solve that by working with growers and wine-makers to decide which
regions cannot be sustainable.
Mixed response to CBH's wheat export push
There has been mixed reaction in Western Australia to the state's main grain han
dler CBH launching a bid to export two million tonnes of wheat this harvest.
CBH announced it would offer grain growers $265-275 a tonne, topping the offer o
f monopoly exporter AWB.
The Western Australian Farmers Federation says the plan encourages short-term th
inking and it is worried about the impact of taking so much grain from the natio
nal pool.
But Leon Bradley, from the Pastoralists and Graziers Association, says growers s
hould have another wheat export option.
"Well the main benefit is too obvious to state," he said.
"$20 or $30 above AWB's estimate, which is very significant in a low production
year in terms of farm profitability."
Meanwhile, the federal Treasurer, Peter Costello, has further opened divisions i
n the Coalition over the future of the single desk wheat export system.
Deputy Prime Minister Mark Vaile says the Government remains committed to the si
ngle desk until the Cole inquiry into AWB kickback allegations reports.
But Mr Costello has suggested wheat growers should get the chance to export whea
t at the higher rates being offered by CBH.
Dairy farmers co-op announces profit increase
The Sydney-based Dairy Farmers Co-operative has announced a 25 per cent increase
in its profits for the last financial year.
The co-operative has posed a $17.4 million profit at a meeting in Sydney today.
Group to consider moratorium over land clearing
An important meeting of land managers is taking place today in the Northern Terr
itory's Douglas Daly region, south-west of Darwin.
Allocation of water and land clearing head the agenda of the Government-appointe
d advisory group, which is preparing to make recommendations.
Pastoralists, like Diana Elliot of Kingfisher Station, want the moratorium over
land clearing lifted quickly.
She says broken promises about development have prompted some investors to consi
der seeking compensation.
"At the moment we have cleared one-seventh of our block, and we would be looking
to clear at least say 30 per cent," she said.
Seaweed fertiliser helping farmers battle frost
Farmers are using seaweed fertiliser as a way to protect horticultural crops fro
m frost.
Victoria has had several frosts in the past month, with cherries, grapes, stone
fruit and apple crops being damaged.
Scientists believe the liquid fertiliser works by hardening the plants cells, so
the frost cannot pull the moisture out of the fruit.
Consultant Dr Colin Young, a former Melbourne University chemistry professor, sa
ys there are limitations to the seaweed's effect.
"It takes 12 hours to kick in and then gives you reasonable protection for two w
eeks then it starts to decrease," he said.
Tas couple take out top tree farming award
Tasmanians John and Diana Lord have been declared Australia's top tree farmers.
The Lords, from Longford in the state's north, won the title from among six othe

r state finalists at the Australian Forest Growers international conference in L

aunceston last night.
The family started tree farming in the 1980s and now manages three forest proper
ties and a 1,200-hectare mixed farm.
John Lord says his philosophy has been to plant trees on abandoned farmland wher
e native bush cannot be re-established.
"Over the past couple of decades we've bought some land that was derelict, mainl
y on the Western Tiers," he said.
Cherries make $55,000 for charity
A record $55,000 has been paid for two boxes of the season's first cherries at a
charity auction in Sydney.
They were bought by the owner of a chain of fruit shops in Sydney and will be di
stributed to children in hospital.
Cherry Growers president Ian Hay says there was fierce competition to supply the
charity box between growers from Griffith in New South Wales and the South Aust
ralian Riverland.
"They actually had a competition in the central markets to get the best box of c
herries and they couldn't split between these two cases so they actually put up
two cases," he said.
Daylight saving bill introduced to WA Parliament
After years of resistance, Western Australians could have daylight saving in pla
ce by this summer.
A bill will be introduced into State Parliament today to set-up a daylight savin
g trial from the start of December.
If the bill is passed, a referendum will take place after three summers, in 2009
.
PM to hear farmers' drought concerns
Farmers will put their concerns about the Federal Government's drought assistanc
e package to the Prime Minister today.
John Howard has started a two day tour of drought hit regions in New South Wales
, as dryland farmers call for grants to re-sow their crops when the drought brea
ks.
Mr Howard says now that the Federal Government has committed a total of $2.1 bil
lion in drought assistance, it is time for the states to do their part in the fo
rm of water rates relief.
Mr Howard is particularly critical of the NSW Government because he says some of
the Federal Government's drought assistance is going straight into their coffer
s for water charges.
Drought stricken areas to receive extra funding
The South Australian Government will provide a further $4 million to help drough
t stricken farming families and communities.
Some of the new measures include $1.3 million for stamp-duty relief, $330,000 fo
r more rural financial counselling services and funds to help the SA Farmers Fed
eration (SAFF) coordinate exceptional circumstances applications.
State Agriculture Minister Rory McEwen says much of South Australia still has to
mount a case for drought assistance.
"We are providing resources to both SAFF to coordinate the applications and to c
ommunity or industry group that's done the application, the resources they need
to actually put the application together," he said.
"The challenge in South Australia of course is a whole lot of us aren't EC decla
red.
Rain prospects improve
There is an improved prospect of rain for some parts of Australia over summer.
The National Climate Centre's latest climate outlook still predicts some of the
country's most drought affected land will stay drier than normal over the next t

hree months.
South-east Queensland and much of New South Wales will only have a 30 to 40 per
cent chance of receiving above average rainfall.
And a hot summer is still forecast for most of eastern Australia, with the confi
rmation of the El Nino weather pattern.
But meteorologist Grant Beard says it is not all bad news, as some areas could g
et above average rainfall.
"It's more encouraging for northern and north-west Queensland," he said.
"There's an increased likelihood of wetter than average conditions there and it'
s not quite as discouraging as it was in the south-east of the country as well w
here the probabilities have risen from around about 40 per cent or a bit lower l
ast outlook.
Govt grant to help cut dairy processor's water use
The major dairy processor in Victoria, Murray Goulburn, is receiving assistance
from the Bracks Government to help it cut back on its water use.
The Murray Goulburn plant in Leongatha in Gippsland is one of the biggest water
consumers in the region.
Chairman of Murray Goulburn Ian McAulay says he hopes the $1.6 million governmen
t grant will mean there is more water left for local towns and farms.
"This one is quite significant," he said.
Project to boost truckie numbers
The transport industry is holding out its arms to farmers needing employment dur
ing the drought.
A short course in truck driving is being offered at Wodonga in Victoria by the N
ational Industrial Skills Training Centre to allow farmers to re-train as trucki
es.
Manager Sput Lowry says the project will help boost driver numbers.
Govt urged to acquire Snowy Hydro
A New South Wales parliamentary inquiry has called on the Federal Government to
acquire Snowy Hydro, but to guarantee the electricity generator remain in public
hands.
Inquiry chairman the Reverend Gordon Moyes says Snowy Hydro needs a capital inje
ction of $800 million to remain viable in the national electricity market, but t
hat share holding governments are reluctant to fund it.
Bananas not to blame for inflation rise: wholesaler
The Queensland fruit and vegetable industry says it is ridiculous to blame infla
tion on the price of bananas.
The latest consumer price figure rose 0.9 per cent in the three months to Septem
ber, with the federal Treasurer singling out banana prices as a factor.
And on the basis of the CPI, the Reserve Bank is expected to increase interest r
ates next month.
But Brisbane wholesaler Tony Joseph says while banana prices have gone through t
he roof, there has only been 10 per cent of normal supplies on the market .
"Bananas have been as high as 130, $140 a case, which is way above their normal
price, most probably around the mid-20s when we've got a full supply of bananas,
" he said.
Cloned animal products may reach US shelves
Consumers in the US may see meat and dairy products from cloned animals on their
supermarket shelves next year.
The US Food and Drug Administration has submitted draft recommendations to Washi
ngton, which appear to support the sale of products from cloned animals, quoting
research that says the food will be as safe as that from conventionally-bred an
imals.
The sale of cloned animal product is currently prohibited in the US.
But Scott Kinnear, from the Biological Farmers of Australia, says organic farmer

s are watching the issue with concern.

"We don't think that cloned foods are necessarily safe for the long-term," he sa
id.
NSW cherry growers to push for southern market
New South Wales cherry growers will renew a push today to get their fruit into s
outhern Australian markets by raising the issue when the Prime Minister visits G
oulburn.
The producers have been stopped from getting fruit into these markets because of
concerns over fruit flies.
National Cherry Growers president, Ian Hay, says despite international markets a
ccepting fruit fly management protocols, southern states will not accept them.
"If we can do protocols to get fruit safely overseas, surely we have got to be a
ble to move it across the country as well," he said.
"If we don't make sure we have tidied up that homework here in Australia, those
countries to protect their borders and decide they won't need a tariff, they wil
l just turn around and say, 'hey you can't even get cherries out of NSW into Vic
toria.'
Mine to reopen due to surging gold prices
The Bronzewing gold mine in central Western Australia is set to reopen on the ba
ck of climbing gold prices.
The mine and its extraction plant and accommodation village have been mothballed
for the past three years after being bought for $9 million by View Resources.
Managing director Tim Gooch says the company has secured debt financing and says
strong investor support and current market conditions could see the open cut an
d underground mine operating again within months.
"We've been modelling on around $A800 an ounce," he said.
Vets to audit captive devils after tumour discovery
Vets in Tasmania are conducting an audit of a wildlife parks in the north of the
State after the discovery this week of two devils with the devastating facial t
umour disease.
It is the first time the disease has been found within a captive population.
It has already wiped out half the wild devil population.
Veterinary pathologist Stephen Pyecroft says as yet there is no screening test a
vailable for the disease, so it is a waiting game for the rest of the devils at
the wildlife park.
"One of the areas that we have been looking at reasonably closely since the star
t of the program is to try to get an indicator test or the thing that we are sor
t of calling a clinical test for the cancer," he said.
Northern pastoralists not convinced about daylight saving
The debate about introducing a three-year trial for daylight saving in Western A
ustralia has left pastoralists in the tropics feeling excluded.
The daylight saving Bill was introduced to Parliament this week and is expected
to receive support from most MPs.
If it passes, clocks will be put forward an hour in December.
But one pastoralist in the Kimberley, where it is already 39 degrees Celsius eac
h day, says it will not advantage him.
"We normally start very early," he said.
Trading hours row closes Palace Hotel
One of the country's most famous outback hotels has called last drinks for the l
ast time after failing to win a bid to trade for 24 hours.
The Palace Hotel in Broken Hill opened in the 1880s and achieved worldwide fame
by appearing in the film Priscilla, Queen of the Desert.
But last night, owner Marat Celotto shut the doors, saying his business was doom
ed following the council's refusal to extend his trading hours.
"It's a very hard decision at the moment," he said.

Rural incomes predicted to slump

A major bank is forecasting rural incomes will fall by 60 per cent this financia
l year.
The National Australia Bank predicts incomes will drop by $4.6 billion from last
year to just $3 billion.
But the bank's Jeff Oughton does not believe it will push farmers off the land.
"I don't think a lot of farmers will be leaving the industry, going into this dr
ought we've seen farm property values rise very strongly over the past five year
s," he said.
ABARE farm production estimates lowered again
There is another gloomy forecast from the Australian Bureau of Agriculture and R
esource Economics (ABARE) today.
It has further lowered its estimate for this year's drought-hit wheat harvest to
9.5 million tonnes, the smallest crop since 1995.
It says the national barley crop could drop 64 per cent on last year, with canol
a yields down 69 per cent.
ABARE also says beef earnings are expected to fall 13 per cent.
PM's drought tour focuses on irrigation
The Prime Minister is continuing his tour of drought-affected areas of New South
Wales and today the focus is on the irrigation industry.
Tonight at Finley, in the Riverina, the locals will gather to pray for rain.
But today, they are asking the John Howard for help.
On a visit to a dairy farm, Mr Howard heard that with zero water allocation, pro
ducers have been forced to pay high prices for temporary water.
That, coupled with rising costs of feed grain, is putting the squeeze on farm fi
nances.
Mr Howard is also expected to meet with local community leaders later this after
noon.
Meanwhile, young farmers, harvesters and other farm contractors say the drought
assistance package probably will not be enough to keep many of them on the land.
Western NSW crop spraying contractor, Andrew Oliver, who spoke to Mr Howard yest
erday, says he and his friends are sick of watching their businesses run down.
Frost devastates Clare Valley vineyards
Another of South Australia's premium wine regions has been devastated by frost.
The Barossa Valley, Coonawarra and Padthway have experienced crop losses ranging
from 20 and 90 per cent.
Now the Clare Valley, north of Adelaide, has also been hit.
Trelawney Vineyard manager Tracey Sandow estimates last weekend's big freeze rui
ned hundreds of tonnes of grapes.
"The frost came in Saturday morning and anything on the low lying areas of the v
ineyard was basically blackened off completely," she said.
Storms bring good and bad to mid-west farmers
It has been a mix of pain and good fortune for Western Australia's farmers and p
astoralists, after wild storms tore through the Gascoyne, Murchison and parts of
the mid-west and northern wheatbelt.
Strong winds and rainfall of 60 to 90 millimetres destroyed some farm crops and
damaged fences.
But further north, pastoralists have welcomed the rain after such a dry winter.
Geoff Pilkington from Kirkalocka Station, south of Mt Magnet, says strong winds
and hail created a fierce storm.
"Dark skies and threatening for most of the morning and then the heavens just op
ened and it was just amazing," he said.
"At the mine site and in Mt Magnet town site, there was huge hail stones and app
arently they were the size of golf balls and two or three inches thick on the gr
ound, so it's just an amazing event."

Tobacco growers vote to accept exit package

Australia no longer has a legal tobacco growing industry.
Tobacco was grown in Queensland and Victoria, but British American Tobacco and P
hillip Morris have now announced they will be withdrawing from Australia by 2008
because overseas crops are cheaper.
Growers in both states yesterday voted to accept an exit package made up of $15
million from the tobacco companies and $17 million from the Federal Government.
That amounts to a maximum payment of $150,000 per grower, which producers say is
an offer too good to refuse.
Queensland Nationals Senator Ron Boswell says the Government hopes the tobacco f
armers will be able to find alternative crops, but admits it will be difficult.
"In the case of Merribra it's a long way from the market so it's difficult to fi
nd something they can grow commercially, but some of the farms may go over to su
gar which is doing okay at the moment," he said.
GM cotton gets green light in northern Australia
The Office of the Gene Technology Regulator has approved the commercial release
of genetically modified (GM) cotton for northern Australia.
It is satisfied that five varieties of GM cotton designed to be herbicide and in
sect resistant will have minimum impacts on tropical environments.
The decision is unlikely to benefit Western Australia's Kimberley region, since
the State Government has a moratorium on all GM crops until 2008.
But Cotton Australia's Philip Russell says there is now nothing stopping farmers
in north Queensland growing it commercially when prices pick up.
"In Queensland there's no moratorium and we certainly have some interested peopl
e up in the Burdekin area of north Queensland who potentially could grow cotton,
" he said.
Bega Cheese chalks up $10.5m profit
It is a record profit year, despite the drought, for New South Wales based dairy
business Bega Cheese.
It posted a $10.5 million profit on a $280 million turnover.
The Bega Dairy Co-op employs more than 500 people, exports to 50 countries and p
roduces Australia's top-selling domestic cheese brand.
Chairman Barry Irvin says all the Co-op profits were returned to the 100 farmer
owners, to help see them through the worst drought in a century.
Nickel mining reveals promising results
Underground miners at Australia's newest nickel mine have intersected the first
of a number of a high grade nickel sulphide ore bodies.
The Flying Fox mine at Forestania, 400 kilometres east of Perth, hosts one of th
e highest grade nickel deposits in the world.
The price of nickel is currently at a record high.
Western Areas NL managing director Julian Hanna says it is just the beginning of
a long-term nickel operation.
"Initially that ore will be toll treated at a nearby treatment plant to produce
a nickel concentrate which will end up being exported to Canada," he said.
Waste water scheme to benefit Tamworth farm
Tamworth council in north-west New South Wales has showcased one of the first en
vironmental spin-offs of a planned waste water project.
It is a 140 hectare wedge of rehabilitated grassy box woodlands at the edge of w
hat will become a farm which re-uses the city's water and effluent to grow crops
.
Tamworth regional water augmentation manager Nigel Thompson says the project has
environmental bonuses for the city.
Wage increase causes concern
Agricultural employers are voicing their concern about the Australian Fair Pay C

ommission's wage increase to low-paid workers.

The commission yesterday granted workers on less than $700 a week an extra $27.3
6 in their pay packet.
The National Farmers Federation says it is disappointed with the decision.
And Michael Badcock, from grower group AUSVEG, says the increase will make it ha
rder for Australia to compete with imported fruit and vegetables.
"It's going to put vegetable farmers in Australia in a very bad position," he sa
id.
"We've got a lot of pressures with cheaper imports coming into Australia and now
all of a sudden we've got to pay this extra increase in wages.
"It's going to make it very difficult for us to compete in the global market."
The Australian Workers Union, which represents many low-paid employees in agricu
lture, says the increase is good but could have been better.
Organiser Terry O'Connor admits he was pleasantly surprised by the decision.
Minister to sport new 'cat in the hat' headgear
Federal Environment Minister Ian Campbell is getting an unusual present in the m
ail from King Island in northern Tasmania.
It is a hat made from a feral cat pelt collected during the island's cat trappin
g program.
Senator Campbell was on King Island recently and mentioned he would not mind a h
at as a reminder of his trip.
Hat maker Robyn Eades says she hopes the size is right for a politician's head.
Tassie cow gets leg up
The famous three-legged Tasmanian cow called Theresa is back on all fours after
being fitted with a prosthetic leg this week.
Theresa broke a back leg in July when she fell down a river bank and her owner h
ad the leg amputated.
After considerable media coverage, offers of wooden legs came from across Austra
lia and an artificial limb maker from Launceston delivered on the challenge.
Theresa's owner, Geoff Heazlewood, says he never expected to see his heifer with
a wooden leg.
"No I didn't, it was sort of one of those silly ideas that became reality I gues
s," he said.
Fishing industry wants govt help to keep businesses afloat
The fishing industry is trying to adapt to the recent Federal Government buyback
of 400 fishing licences.
The buyback has led to a 70 per cent drop in fish being supplied to the Twofold
fishing co-operative at Eden on the south coast of New South Wales.
But chairman Fritz Drenkhahn says members are chasing federal assistance to keep
the business afloat.
"The decision of the members was yes to go ahead to strive in all directions to
maintain it open [but] a lot hinges on the business assistance package which we'
ll be applying for," he said.
Pig ad campaign misleading, say pork producers group
Animal rights activists have launched a new advertising campaign against pig far
ming.
The ads, put together by the groups Voiceless and Animals Australia, depict pigs
in small pens with minimal room and piglets having their eye teeth clipped.
But Australian Pork Limited says the campaign is misleading.
Spokesman Andrew Spencer says the ads are designed to be emotional and are not a
n accurate reflection of how pigs are grown commercially in Australia.
"The types of words they're using are not trying to portray the independent view
of the way pigs are raised," he said.
Wool prices spike
The wool market has hit a two year high.

The eastern market indicator rose a further 3 per cent last week to close on 782
cents a kilogram.
The biggest price hikes were for wool in the medium 19 to 24 micron range, up be
tween 30 and 59 cents a kilogram in Sydney.
Chairman of Inland New South Wales Wool Brokers Rowan Woods says buyers are beco
ming worried about future supply.
"This had to come. I think there is a real perception or a realisation from the
trade that supply will be tight," he said.
"The number of stock that are being sold. You have only got to look at Wagga - 2
50,000 sheep roughly in a month down there. A hell of a big dent in the number o
f sheep that will supply wool to the trade.
Work visa crackdown won't stop exploitation, says union
The Meat Industry Union says a new crack down on temporary work visas will not s
top migrant exploitation.
The Federal Government will set up an investigative strike force to make sure em
ployers are complying with the conditions of the 457 visas, which allow skilled
overseas workers into Australia.
Union spokesman Russell Carr says problems are mainly in smaller meat processing
workers, which are largely un-unionised.
"What would be better is what would have applied before the industrial law chang
es to allow unions right of access to those workplaces and unions will check tha
t out for free of charge for the taxpayer," he said.
Beef producers urged not to vote in MLA elections
The Australian Beef Association (ABA) says beef producers should not bother voti
ng in this year's board elections for peak body Meat and Livestock Australia (ML
A).
The renegade lobby group has failed to win previous resolutions to remove direct
ors from the MLA board and has not submitted any this year.
President Linda Hewitt says it is pointless to vote because ABA resolutions can
be vetoed by the MLA board.
But MLA managing director David Palmer says that has never occurred.
"All I can say is that we should just look at history. Several resolutions have
come up year after year," he said.
"Some from the board, some from the registered levy payers, all have been voted
upon and all have been acted upon and no vetoes have been applied from board's o
r from council of that matter."
Livestock transporters fear for future
Some livestock transporters fear they will be forced to leave the industry becau
se of the drought.
Transporters, who face hundreds of thousands of dollars in operational costs, we
re not included in the Federal Government's recent $700 million drought package.
President of the Livestock Transporter's Association Mark Sullivan says while op
erators have been kept busy carting thousands of drought affected sheep and catt
le, that will soon slow down as stock numbers dwindle.
"I was speaking to a couple of Victorian members, they reckon their workload is
fairly hectic, but what they're worried about is when it comes [during] January
and February, when the impact of it happens, what they're going to do next," he
said.
ACT officially in drought
The ACT has been drought-declared, giving 90 farmers access to federal and local
government assistance.
As part of the package, rates will not have to be paid and rural lease payments
will be deferred.
The ACT Government also plans to give farmers transport subsidies, in line with
New South Wales.
Grazier Tony Griffin says he would normally be able to cut enough silage for nex

t winter, but not this year.

"I've got five semi-loads of hay starting today actually," he said.
"We're getting it from western NSW, it's really failed wheat crops."
Meanwhile Australia's drought and its human toll are getting a lot of attention
in the United States.
US agriculture officials are watching the Australian drought disaster closely an
d not just its impact on US wheat prospects, but its toll on lives.
From a USDA reporter: "A farmer suicide every four days ... that's what's happen
ing in Australia right now, according to a mental health group there."
And USDA meteorologist Harlan Shannon says a developing El Nino could mean more
hot, dry weather for Australian grain and livestock.
"It's not going to be good for Australian farmers, at least, historically speaki
ng, it hasn't been, And so, if it does continue to intensify, the road ahead doe
sn't look too good," he said.
Cyclone recovery work boosts local economy: economist
There are claims today that north Queensland's economy will end up $400 million
better off because of cyclones Larry and Monica.
Cyclone damage has been estimated at around $500 million while insurance payouts
and government assistance are said to total up to 900 million.
Cairns economist Bill Cummings says the recovery work has also boosted the econo
my.
Vine heating may eliminate frost damage
An Australian physicist says frost damage in vineyards could be eliminated if vi
nes themselves were heated.
Most frost prevention measures concentrate on heating the air around the vines t
o stop frost forming.
The University of New England is researching whether electric cables can be trai
led around vines to heat them by one or two degrees, to prevent grape buds from
freezing.
Associate Professor Dr David Lamb says the system first appeared in France, but
has never been tried in Australia.
Land rights anniversary commemorated
The anniversary of land rights in South Australia has been commemorated in the s
tate's far north-west.
The Pitjantjatjara people were given freehold title to 103 square kilometres und
er an agreement with the State Government in 1981.
It was the first deal of its type in Australia.
State Aboriginal Affairs Minister Jay Weatherill say the anniversary comes at a
time when governments need to rethink their approach to Aboriginal communities.
"This is the first place in Australia that gave freehold title to a community so
it's a very important occasion," he said.
Imported feed grain expected to ease shortages
The Federal Government expects the first imports of feed grain for livestock to
arrive in Australia in January to ease looming shortages.
More than 40 import applications are being assessed from companies wanting to fi
ll shortfalls caused by the drought.
Biosecurity Australia officers are making the first assessments of wheat, maize
and sorghum in the UK, Canada and the UK.
But Agriculture Minister Peter McGauran says the imports are not likely to make
a major difference in prices.
"It's a question of balance that we have a million cattle in feedlots at present
and of course the dairy, pig meat and chicken industries are terribly dependent
on grain," he said.
"So for those who are able to produce grain we don't want to suppress their pric
e and in any event I don't think the amounts being able to be imported will amou
nt to a flood."

Meanwhile the drought has forced South Australian grain marketing company ABB to
accept poorer quality grain.
The company has reduced its screenings for malt barley and will accept smaller a
nd less plump grain.
ABB's Lyndon Asser says the move will benefit growers as the company tries to se
cure more supply.
Organised crime targeted by fishing Bill
Organised crime in the fishing industry will be targeted by tough new penalties
if the State Government's Fisheries Management Bill becomes law. A recent study
by the Australian Institute of Criminology has revealed organised criminal activ
ity in the industry with syndicates operating across state boundaries. South Aus
tralia's director of Fisheries Will Zacharin says this is one of the reasons why
tougher penalties for illegal fishing have been included in the Bill which was
introduced to Parliament last week. Mr Zacharin says it also includes a demerit
points system for commercial licence holders.
Locusts took department "by surprise"
The director of agriculture Don Plowman says there is little his department coul
d have done to stop the damage caused by locusts to crops grown in the Coorabie
district of the far west. And he says the explosion of locust hatchings took bot
h Primary Industries SA and local growers by by surprise. Mr Plowman was respond
ing to criticism by grain growers in the Coorabie district who say they didn't g
et practical help from the department to stop the pests damaging their crops. He
says the department will monitor the situation over summer and autumn.Strong ga
ins for wool
The best price rises for wool in two years were achieved at last week's national
wool sales, Elders wool manager Mark Rodda reported. He says this reflects conc
ern by overseas buyers that Australia's drought will reduce supply and they will
not be able to secure the wool they need. Mr Rodda says the best increases were
in the medium to broad wools. Nineteen micron wools jumped 27cents/kilogram to
finish at 953c/kg clean; 21m were up 51c to 815c/kg; 22m increased by 57c to 787
c and the 23m rose 49c to 756c.
Farmers to bear higher feed costs
The drought is expected to push up food prices with fewer crops and more expensi
ve water.
But consumers will not be the only ones bearing the increased costs.
Market vegetable prices to consumers are expected to rise by at least 30 per cen
t but many growers are locked into fixed contracts with processors.
In some states dairy farmers have contracted prices or are paid based on world p
rices and so will have to bear some of the the higher costs of cattle feed thems
elves.
Chicken meat is expected to rise by about 15 per cent, but although red meat pri
ces will rise in the long term, initially price fluctuations are expected to be
absorbed by retailers.
Breakfast cereals will rise.
Govt urged to take control over vegetable imports
Unions in Tasmania are calling for the Federal Government to take greater contro
l over vegetable imports to save Australia's processing industry.
About 10 jobs are expected to be lost at a McCain Foods' plant in north-west Tas
mania because of a loss of sales.
Anne Urquart from the Manufacturing Workers Union says imports, a rise in home b
rands and a lack of country-of-origin labelling is putting processors under pres
sure.
"I'm really concerned since it's only 12 months since the farmers had a very lar
ge rally that identified the concern about not only the labelling but the actual
importing of frozen vegetables," she said.

US company tests South Korean import protocols

A shipment of US beef has arrived in South Korea for the first time in nearly th
ree years but exporters appear nervous about the future of the market.
The US Agriculture Department says the consignment is from a company testing new
import protocols designed to minimise the risk of mad cow disease.
But other companies are waiting to see how it is received in a market now domina
ted by Australia.
US Department of Agriculture Deputy Undersecretary Chuck Lambert says despite Ko
rea's market reopening to US boneless beef on September 11 after a 2003 mad cow
case, the US industry remains reluctant to ship, even though one US firm shipped
nine tonnes this week.
"The reluctance to ship has been by the US industry, related to concerns about h
ow Korea might handle findings of small pieces of bone, or bone chips. We have h
ad one company who has elected to test the system," he said.
Mr Lambert is still waiting on Seoul for a response to his letter, asking the Ko
reans for more flexibility in how they deal with bone chips, cartilage and muscl
e membrane.
Korea's major retailers are not placing orders for the U-S beef.
Quarantine authorities will take the next 10 days to inspect the first shipment
for bone fragments.
But Meat and Livestock Australia's regional manager in Korea Glen Feist says Kor
ean retail chains are not yet ready to welcome back US product.
"Obviously over the last nearly three years now we've made very strong relations
hips with these guys and they're all indicating to us that they'll take a wait a
nd see attitude as well," he said.
Natural gas sector pushes for role in greenhouse gas fight
Australia's natural gas sector wants to know why it is not playing a greater rol
e in the push to reduce greenhouse gas emissions.
The Federal Government is funding two research projects in Queensland to extract
methane from coal, with any carbon dioxide emissions to be buried underground.
But the Australian Pipeline Industry Association has questioned the continued re
liance on coal while renewable energy sources come on line.
Chief executive Cheryl Cartwright says there is enough known natural gas reserve
s in Australia to last 100 years and it would make better environmental sense to
start using it.
"Instead of relying on coal fired generation in the immediate term and the mediu
m term, we can start to reduce greenhouse gas emissions," she said.
"Certainly not to the level that renewable energy provides, which is almost zero
but natural gas greenhouse emissions in energy generation are far lower than co
al."
Federal Resources Minister Ian Macfarlane says coal will remain a feature of glo
bal energy generation for the next century.
Mr Macfarlane says Australia is leading the research into cleaner burning and em
ission technologies, and the natural gas sector should see itself as a part of t
hat.
"They're promoting their side of the industry, the Government is promoting a bro
ad mix, we need to make sure as we announce that mix we get it right," he said.
Senate committee hears grain growers' concerns
The Wheat Export Authority says it has not yet held talks with the Federal Gover
nment about increased powers to regulate wheat exports.
Officers have told the Senate estimates agriculture committee that they expect t
he authority's role to change in the wake of the Cole inquiry.
But committee chairman, Liberal Senator Bill Heffernan has told the hearing that
concern among growers over low pool payments and AWB's service agreement, mean
there is pressure to change the system.
"It's as if you've discovered a betrayal, a sense of betrayal, amongst a lot of
wheat growers and to get the sense of betrayal, they say a picture paints a thou
sand words," he said.

Scientists want extra funding for CO2 storage projects

Australian scientists are calling on the Federal Government to double its fundin
g for projects which store carbon dioxide underground.
The federal and state governments have announced a $2 billion low emission techn
ology fund to help reduce emissions from coal, oil and gas mining.
Peter Cook from the CRC for Greenhouse Gas Technologies is helping to design Aus
tralia's first project to store carbon dioxide in Victoria's Otway Basin.
He says the funding is not enough.
"Almost half of Australia's total emissions come from what we call stationary so
urces, in other words from power stations," he said.
Irrigation pumping on unregulated streams stopped
The drought has forced an early halt to irrigation pumping on unregulated stream
s and rivers in New South Wales.
The Department of Natural Resources says it is unprecedented to see water levels
fall so low in so many river systems this early in the season.
Water levels have reached precarious levels in southern, northern and far wester
n regions, while in the central west pumping is expected to be halted within day
s.
Spokesman David Harris says he has never seen so many creeks and rivers drying u
p so early.
"This year is just horrendous, we've just had no winter flow, we've had no sprin
g flow and as a consequence most of the unregulated streams have just stopped fl
owing," he said.
Drought aid assistance increased
The New South Wales Government has announced further drought assistance for farm
ers and irrigators.
The extra assistance will see drought aid increased to $30 million this financia
l year.
Irrigators in the Lachlan Valley will be the biggest winner from the announcemen
t, with their fixed water charges waived this season, saving them around $5 mill
ion.
The State Government has also extended its drought support workers program until
June next year.
The Premier has waived the wild dog destruction board fees for farmers in the we
stern division and deferred the pest insect levy for this financial year.
NSW Premier Morris Iemma says they are also increasing mental health services.
"There is a real human toll here. Extra stress, anxiety, indeed depression as fa
rming families suffer as a result of losing their income," he said.
NT cattle exports to Malaysia almost double
Almost twice as many cattle are being exported from the Northern Territory to th
e Malaysian state of Sabah compared to last year.
Almost 2,500 cattle have been sent out of the port of Darwin this year and the t
rade is expected to keep growing.
Stuart Kenny from the NT Cattlemen's Association has been at the opening a new M
eat Technology Centre in Sabah, which he says will help to build the export busi
ness.
"We are presently about 30 kilometres north of the main city in Sabah, which has
seen a collaborative agreement between Sabah Government and also the NT Governm
ent," he said.
"What we are seeing today is a first class facility that can meet the technology
and the quality of meat that can be seen anywhere in Australia.
Bull sells for record price
The record price for an Australian stud bull has been doubled at a brahman bull
sale near Rockhampton.
A 20-month-old bull sold for $300,000 at the McCamley families' Tartrus Lancefie

ld sale.
It was bought by Graham Kemp from the Happy Valley Brahman stud at Mackay.
Spokesman Ken McCaffrey hopes other sons of the bull, JDH Baxter Manso, are as p
opular.
"They sold particularly well the sons of Baxter's through the sale but he was we
ll credentialled in every way with pedigree and his group breed plan figures," M
r McCaffrey said.
Labor hits out at pay rise for GRDC boss
The Federal Government-funded Grains Research and Development Corporation (GRDC)
is under fire, for awarding its managing director a $60,000 pay rise during the
drought.
The GRDC has admitted to a Senate estimates hearings that managing director Pete
r Reading's salary was increased to $460,000 this year, but says it was after a
salary review by an independent body.
Labor's agriculture spokesman Gavan O'Connor says the Government should be asham
ed.
"I think it's important that some sensitivity in judgment is exercised when wage
rises or salary rises of this kind are granted," he said.
Grain growers urged not to accept low shares offer
The Victorian Farmers Federation (VFF) is warning grain growers not to accept lo
w offers for their shares in wheat exporter AWB.
The Australian Share Purchasing Corporation is offering drought-hit farmers $1.5
0 for their B class shares.
Ian Hastings from the VFF is worried that growers do not realise their shares ar
e worth almost twice that amount.
Grain harvest under way
The grain harvest has commenced in Victoria's Mallee and some grain growers say
they are surprised by yields.
With less than 100 millimetres of rain during the growing season, farmers have b
een expecting a small harvest.
In the Millewa, in the state's north-west, farmer Colin Hunt says some wheat cro
ps are yielding up to one tonne per hectare, a bit above expectation.
Canola crushers look to import crop
The canola crop has now all but failed this season in New South Wales.
Canola crushers are currently looking at importing canola from Western Australia
or Canada to meet the state's domestic demand.
Pete MacSmith from Macsmith Milling in the state's central west says the local f
igures are not good.
"The latest estimates are putting the NSW crop at somewhere between 25 and 35,00
0 tonnes," he said.
"There's been a few reasonable crops up in the north.
"There will be very little harvested in the central west until we get down to th
e irrigation areas.
Drought impacts on northern cattle prices
Cattle prices in tropical northern Australia are feeling the impact of the dry c
onditions elsewhere.
An oversupply of stock to the domestic markets is driving down prices across the
nation and for the live export trade.
Steve Ellison, of the Territory's Live Exporters Association, says cattle prices
have eased by 10 to 15 cents for every kilogram sold.
However he says there has been a big improvement in the buffalo export trade.
"I think price is a big factor, plus there are buffalo operators who are really
well organised, they can get much bigger numbers on a regular basis and put them
in yards and quieten them down prior to going on the ship," he said.

Quarantined US beef released in Japan

Customs officials in Japan have finally released 910 tonnes of US beef which has
been in quarantine since January.
The shipment was delayed when Japan reimposed a ban on US imports.
Meat and Livestock Australia's Glen Feist says the problem now is that the beef
only has an eight week shelf life.
"The Japanese consumer is extremely discerning when it comes to quality and fres
hness of any meat," he said.
"If consumer sentiment obviously is down over there against US beef a food servi
ce operator might buy this product and not be able to push it through either.
Sawmillers worried about long-term viability
Tasmanian sawmillers are concerned that a downturn in the wood chip market could
undermine their long-term viability.
Forestry Tasmania's annual report has revealed a 24 per cent fall in wood chip s
ales, and a 9 per cent reduction in sawlogs.
Fred Ralph from the Country Sawmillers Federation blames the drop in saw log sal
es to the slow down in the construction of new homes.
But he is concerned that when the industry recovers, mills will not be able to s
ell their wood chip residues.
SA and NSW govts reach water trading agreement
The South Australian and New South Wales governments have signed an agreement to
allow cross-border trading of water entitlements from the Murray and Murrumbidg
ee Rivers.
Earlier this year the Federal Government threatened to fine the two states $17 m
illion if they did not reach an agreement by January.
South Australian Minister for the River Murray Karlene Maywald is hopeful this d
eal will avoid any penalties.
"We've come a long way since earlier this year in relation to the negotiations a
nd the discussion," she said.
Commission proposes increasing semi-trailer loads
Load limits for semi-trailers could be increased by five tonnes under a draft pr
oposal from the National Transport Commission.
Trucks with twin-steer axles would be able to carry a maximum gross weight of 47
.5 tonnes.
The commission says any additional damage to roads would be offset by higher reg
istration charges.
Spokesman Paul Sullivan says the plan would result in productivity and safety ga
ins for the logging, mining and construction industries.
"It originally came from requests from industry in the logging, mining and const
ruction industries that need to carry a little bit of extra mass," he said.
Aboriginal land subdivided for farming
In a first for the Northern Territory, Aboriginal land has been subdivided for h
orticulture development.
It has taken more than 10 years to develop the new leases due to a lack of fundi
ng.
Five blocks of between 100 to 1,000 hectares at Ti-Tree, north of Alice Springs,
will be leased to farmers for development.
Allan Cooney from Centrefarm says the plan will increase the productivity of uni
mproved land, with plans to grow olives, mangoes, tablegrapes and bush tucker.
"We would expect there to be fruit planted here next year, albeit on a relativel
y small scale but within a couple of years we'll see extensive plantings in thes
e areas," he said.
"We've got people that have been lined up for years ready to go onto these sites
.
Farm hoping for canker-free future

Orchardists at Emerald in central Queensland are in the final stages of preparin

g for what is being called the most complex tree planting operation in Australia
's history.
A total of 193,000 citrus trees had to be destroyed at 2PH farms after canker wa
s discovered in the region in 2004.
Under a replacement project 5,000 trees will be planted every day for four month
s.
Manager Craig Pressler is hoping for a canker-free future.
Eco City Farm wins invention of year award
An urban food production system designed to reduce carbon emissions has won an i
nvention of the year award in northern New South Wales.
The Eco City Farm, which is on a standard house block, produces enough fish and
vegetables to feed 300 families.
The farm is designed to cut the emissions created by transporting food from rura
l areas to city consumers.
Spokesman Andrew Bodlovich says it produces no effluent, recycles its own water
and is economically viable even at current city land values.
"We really started out with the specific goal of achieving a triple bottom line
with an agriculture system, so it really needed to work for profit but we also w
anted it to be very ecological and it had to work for people as well," he said.
Muster slows cane toads' progress
More than 48,000 cane toads have been caught in the Timber Creek region of the N
orthern Territory.
A month-long campaign has been running in an attempt to stop the poisonous pest
crossing the Western Australian border.
Coordinator Graeme Sawyer originally expected to catch around 10,000 but he is h
opeful the Great Toad Muster has slowed the toad's progress.
Rebound in wool prices expected to continue
Wool prices are tipped to rise even further as competition for Australia's droug
ht-depleted wool stocks grows between Europe and Asia.
Wools in the medium 21 to 23 micron range are at a five year high after jumping
up to 44 cents a kilogram at yesterday's sales.
Over the past three weeks the benchmark eastern market indicator has risen to a
two-year-high.
Chief economist at Woolmark Chris Wilcos says the rebound should continue for at
least another two months.
"We would expect to see a further rise of 10 to 15 per cent again, compared with
what we've already seen in the last three weeks," he said.
Mixed response to water buying scheme
There has been a mixed response to the launch of the Federal Government's first
scheme to buy water from farmers for the environment.
The Government is offering to buy water from irrigators in the Southern Murray D
arling Basin that is saved through on and off farm efficiency improvements.
Some irrigators say it will offer farmers a new source of income.
But Danny Lee from the Victorian Irrigators Council says with little irrigation
water available, governments should be spending more money on water saving infra
structure.
"Right now we have a severe drought, nobody needs to be told that, farmers are o
n their knees, they are in a weakened state," he said.
Complaint delays animal ID system audit
There has been a six-week delay in an audit of Australia's new electronic animal
identification system.
The audit was commissioned in July to investigate claims of inaccuracies and sys
temic errors in the system's database.
Federal Agriculture Minister Peter McGauran says an official complaint last mont

h about the process has caused delays.

Meanwhile one of Australia's biggest cattle producers has been fined for failing
to electronically ear-tag his cattle.
Despite pleading guilty, the central Queensland-based Laglan Pastoral Company ha
s hit back at the prosecution, saying ear-tags were not available.
The company was charged with breaching Queensland's new national livestock ident
ification laws by trucking cattle between company properties without the ear-tag
s, which are designed to trace animals from paddock to plate.
Spokesman Charles Lund believes the $800 fine and conviction is unfair
"The meatworks will tell you over 30 years we've never had a question come back
from them and our cattlework and our paperwork's been always spot on and they co
uldn't find anything wrong with any of our paperwork or the traceability of our
stock," he said.
"What annoys me the most, that we've helped the DPI, we've helped the police, we
've caught quite a lot of stolen cattle and that, and we're all for cattle being
correctly designated, but if you can't get a product to put in them in the ear,
you can't put it in the ear."
Canadian GM canola may be in Aust by year's end
Genetically-modified (GM) canola from Canada could be imported into Australia by
the end of the year.
It is one of 40 applications to import grain and oilseeds to address feed shorta
ges.
Peter Liehne from the Australian Quarantine Service has told the Senate Estimate
s Agriculture Committee that if the canola application succeeds, the oilseed wil
l have to be crushed near the port of entry.
He says the applicant plans to make the remaining meal into livestock feed.
AWI court action costing woolgrowers
The Federal Court has heard the Australian Wool Innovation's legal action agains
t the animal rights group, People for the Ethical Treatment of Animals (PETA), h
as cost woolgrowers $5 million.
The two-year-old case is a result of PETA's campaign against mulesing.
But at today's hearing in Sydney, Justice Rares has asked how woolgrowers can cl
aim indirect economic losses, when AWI has $100 million in the bank.
The startling figures came out after PETA filed a strike-out motion against the
woolgrowers' damages.
Rod Smith SC told Justice Rares AWI and its co-applicants had made a series of "
forensic u-turns".
Mr Smith said he was intrigued to know how the 101 woolgrowers could prove they
had suffered a loss of benefit in their levy when AWI had $100 million in its ac
counts last financial year.
Mr Smith added the 2 per cent levy was a Commonwealth statutory figure determine
d in November 2003 before the court action began.
Mr Bannon SC for AWI and the woolgrowers argued the strike-out motion was a shem
ozzle, saying if AWI had spent its legal fees in the PETA campaign on other thin
gs woolgrowers would be in a better position today.
Justice Rares ordered that AWI and the woolgrowers provide within seven days det
ailed particulars of the loss.
City residents rally around drought-stricken counterparts
Charities say there is growing support from city people wanting to help rural Au
stralia through the drought.
Queensland-based Aussie Helpers says people and businesses from all along the ea
st coast have offered free holiday accommodation, while some Brisbane residents
have driven into outback Queensland to donate groceries.
Beverly Kerr from St Vincent de Paul has started a rural task force to coordinat
e support in the ACT and New South Wales and says she only realised how bad it w
as when she visited rural Australia.
"When I was asked to form this task force I thought what am I going to do, I don

't know anything about this drought, I live in Wollongong near the beach," she s
aid.
"So I drove to Broken Hill for their 100th anniversary, instead of flying I drov
e.
"You can read it in the paper and you can think 'oh that's really bad' but actua
lly seeing it and talking to people.
"I mean some people on those farms have been there for generations and generatio
ns, what do they do?"
Meanwhile farm workers are urging their bosses to be honest about the future of
their jobs during the drought.
Victorian dairy farm worker Nat Watson says employees who are kept in the dark c
an become anxious about their job security.
"They're coming home stressed and its affecting their family life because they d
on't know if there is going to be on food on the table tomorrow," he said.
Record October temps recorded in NSW
New South Wales has recorded its hottest, driest October on record, following it
s hottest and driest September.
The consequences have been devastating for the rural sector, with crop failures
and feed, and water shortages forcing a huge sell off of stock.
Mike Logan from the Bureau of Meteorology has the bad news.
"Right across NSW temperatures were just more than three degrees above the histo
rical average of 24.5 degrees and the rainfall's unbelievably low," he said.
"On average we only received 6.6 mm compared to the state average for October of
48.9.
Price rise to help potato growers
Tasmanian potato growers have received their first price rise in six years.
Processor McCain will pay growers $10 a tonne more for russet burbank varieties
and $6 a tonne extra for other varieties.
Grower representative Phillip Beswick says the rise will help farmers facing a d
ifficult season ahead.
"It's pretty significant, the company has recognised the hardship growers are go
ing to be in this year with the problems with water and acquiring it, and the hi
gh costs that we've had in the last 12 months," he said.
Robotic system to hasten grape vines pruning
University students in Adelaide have a designed a robotic system which can hand
prune grape vines four times faster than a human.
Although many grapes are mechanically pruned, premium varieties still need some
hand pruning.
Through GPS and computer imaging, the software can be programed to tell a machin
e with a mechanical arm, where and at what angles to make the cuts.
One of the designers, Damien Mavroudis, says it has the potential to save grower
s time and money.
Harvesting short crops challenges grain growers
Grain growers in Western Australia struggling with the dry season are now facing
with another challenge, harvesting short crops.
Glen Riethmuller from the Department of Agriculture says farmers in the reliable
cropping areas are not used to having such light crops.
He says growers are experimenting with different ways to set up their harvesters
, so they can reduce losses.
"People have certainly been looking at that knife and particularly changing to t
he double density knife guards if they haven't already got them," he said.
Rain dance invoked for drought relief
In an effort to break the drought, a woman in South Australia who describes hers
elf as an Aboriginal spiritual adviser, is planning to travel the country hostin
g rain dances.

Inspired by a rain dance staged in the Victorian town of Ouyen in 2003, Angelina
Harradine says she will help to organise community ceremonies.
"Myself and my team will travel all over Australia," she said.
"There are processes that are used, those processes are very sacred, they're sha
red with people with respect.
"I don't sit down here and think this is all fun and games.
Young Aboriginal actor sought for outback epic
The search is continuing for a young Aboriginal actor to star in a major outback
motion picture.
Director Baz Luhrmann's sweeping romance and historical epic will star Nicole Ki
dman and Hugh Jackman.
Filming on the yet unnamed film is due to begin early next year across Top End s
tation country and he says time is running out to find the third character.
"Now what brings them together though is this child and there an Aboriginal boy
between the ages of eight and 10," Luhrmann said.
"He's a very, very primary character and in fact right at the moment, that's my
biggest focus.
"We are looking all over Australia for this young Indigenous actor and we have s
een some great boys so far, so we have got great possibilities.
Frost hits apple crop
A quarter of the apple crop in central western New South Wales has been lost, as
a result of weekend frosts.
The cold snap hit the Orange region, damaging apples, apricots and cherries.
Batlow producers have also lost around 5 per cent of their crop.
Orange district apple grower Adam Roweth says he lost about half his crop, when
the temperature plummeted to minus two.
"I thought I had a problem in one of the blocks," he said.
"The fruit wasn't seen to be growing, but it wasn't because it wasn't growing, i
t was because it was frosted.
"I have never seen frost that way, in that condition and that bad in my time whi
ch isn't very old but I can assure you that I don't think my father would have s
een it like that either.
AWB cuts wheat pool management costs
Wheat exporter AWB has slashed its costs for managing the national wheat pool th
is financial year.
The company says it is an attempt to maximise returns to grain growers during th
e drought and reduce administrative costs.
The base fee AWB charges for managing the pool will be cut by 40 per cent to $39
.5 million.
Chairman of AWB International Ian Donges says the new business model will benefi
t growers.
"It means the cost per tonne will come under $10, providing we get four million
tonnes," he said.
"I think that's a very good result given that in the last drought in 2002 that $
10 per tonnes was around about the base rate that growers paid as well.
Govt considers drought aid for rural businesses
The Deputy Prime Minister says the Federal Government is now considering extendi
ng drought assistance to farm-dependent businesses.
Rural businesses say they have been hit just as hard by the drought and cannot k
eep going without support.
Mark Vaile says measures are being considered to try to keep young people on the
land and to ensure businesses survive.
"Circumstances have been presented to us where there are directly agricultural-r
elated small businesses, like harvesting contractors, spray contractors, that ar
e being significantly affected in many EC [exceptional circumstances] areas," he
said.

Fruit canning company offers drought help to farmers

Australia's biggest fruit canning company is offering extra drought assistance t
o growers to shore up supplies for the summer.
SPC Ardmona is offering suppliers in Victoria's Goulburn Valley a $1.7 million p
ackage.
Managing director Nigel Garrard says the package includes loans, access to water
and extra payments for fruit.
"It's three prongs to it, firstly, is interest free loans to enable them to buy
water because we recognise a number of them need some help with the funding of t
he water," he said.
"Secondly, are subsidies on fruit delivered to us and that'll be for fruit and t
omatoes.
Patchy rainfall welcomed across NSW
Inland New South Wales has received its most widespread rainfall in more than th
ree months.
Falls over the past 24 hours have been patchy, with 50 millimetres in the state'
s north but nothing in some central and western districts.
But farmers in the central west say any rain is welcome.
"We had 26 millimetres in two storms. One yesterday afternoon and one sometime e
arly this morning," one farmer said.
"Certainly some of our later paddocks, which we were saving for seed, it will he
lp them. It won't help the yield but it will help the grain size."
Another farmer said: "Two storms, one yesterday afternoon, 24 millimetres in 15
minutes and didn't it come down."
"Two storms, one yesterday afternoon with five millimetres and then another one
about 4:00am (AEDT), and we picked up 16 millimetres. A little bit of heavy stuf
f in it," a third farmer said.
"[We got] about half a millimetre, we can't measure anything under that," a four
th farmer said.
Speed limit caps punish remote families: resident
Remote residents in the Northern Territory are outraged at Government plans to c
ap open speed limits.
By the end of next year, all travellers on the Stuart, Arnhem, Barkly and Victor
ia Highways will have to stick to a 130 kilometre an hour limit.
All other roads will have a 110 kilometre per hour cap.
Jo Coulthard from Orange Creek Station, south of Alice Springs, says the changes
punish remote families.
"I don't think it's going to be upheld because how are they going to police it?"
she said.
"We would have to take more time to do the travelling, which of course when you
are working or living on a station you don't have a lot of time to be doing that
sort of stuff.
"I think that's going to have a huge impact on us. Instead of just being an over
night trip... now it will have to be a couple of nights.
Scientist pessimistic about alternative fuel in Aust
Australia's chief scientist does not think alternative fuels have a big future i
n the country because of a shortage of available production land.
Dr Jim Peacock made the comments ahead of the Australian Farm Institute's strate
gic round table meeting on agriculture in Sydney today.
The conference is examining how science will assist agriculture over the next de
cade, especially in the areas of climate change, GM technology and strengthening
international markets.
Dr Peacock says people must be realistic about the potential offered by the alte
rnative energy source.
"There's a lot of talk about agriculture and biofuels, I personally don't think
that's going to be of very much significance in Australia," he said.

"It's just a question of available land, production land.

"There's no doubt that ethanol is useful as a blend et cetera, but they'll be pa
rt of the portfolio.
Country students falling behind in maths, science
Primary school principals says rural students are falling behind in maths and sc
ience because of a shortage of teachers.
The National Centre of Science and Maths says country pupils fall further behind
city students, the further they live from a major city.
Leonie Trimper from the Australian Primary Principals Association says rural sch
ools need specific funding to help them attract and keep specialist teachers.
TV station operator pushes for rural channel
The operators of a rural community television station say the Federal Government
is ignoring requests for a new digital TV station dedicated to rural Australia.
South Australian-based BushVision says in a national survey of 250 people, more
than 90 per cent believed rural issues were not covered adequately by mainstream
TV networks and almost all supported a dedicated rural channel.
The Federal Government wants digital technology to replace the current analogue
network within six years.
BushVision station manager Leon Ashby there is good reasons for a rural channel.
"For many years, our information and our news has either been sensationalised an
d it puts a picture of rural Australians always whingeing, always got a flood or
a fire, or some catastrophe," he said.
"But it doesn't give the overall picture that there's a lot of good things happe
ning.
"We talked about better communications for the bush but television has been left
completely out of the picture."
Tough decisions facing irrigators
South Australia's peak irrigators body says some farmers may not survive the lat
est cut in water allocations.
River Murray water entitlements have been cut from 70 to 60 per cent after anoth
er month of record low inflows across the Murray Darling Basin.
Ian Zadow from SA Murray Irrigators says some will have to make tough decisions
in the coming weeks.
"I'm sure that this is going to create real problems for a lot of irrigators," h
e said.
Anthrax season starts early
New South Wales has had an early start to the anthrax season, with two propertie
s already suffering stock losses.
The state normally sees about four cases of stock losses from anthrax each year.
Catherine Taragel from the Department of Primary Industries says, "we have had a
n early start to the summer period and we have started to see anthrax cases," sh
e said.
Dry forces cattle sell-off
One of the biggest cattle stations in the world has been forced to sell 12,000 h
ead as the dry continues.
Anna Creek Station in South Australia's far north has reduced its stock levels f
rom 16,000 head to 4,000 since late last year.
Manager Randall Crozier says most of the cattle have been sold or sent to feedlo
ts.
"We've been destocking pretty well since November last year and we're pretty wel
l in full swing now we're down," he said.
"We're down to approximately less than a quarter of our stocking rate at the mom
ent and if it doesn't rain soon, there'll be even less than that.
Soybean producers buoyed by higher prices

Higher prices have led soybean producers on the New South Wales north coast to p
lan their biggest crop plantings in years.
Growers are being offered an opening price of $380 a tonne for beans for the cru
shing market.
Buyers agent Kerry Handford says the drought has played a part in the price jump
, but it is mainly due to growing interest in biofuels.
"I think that's starting to put a bit of a surge in everything," he said.
"They can use the oil in a biodiesel situation because the soybean produces 20 p
er cent of its mass in oil.
"And also our food chains are getting away from solid fats into oils to do their
cooking for health reasons.
Deadline for Wool Poll vote
Today is the last chance for wool growers to vote on the level of their industry
levy.
Wool Poll is run every three years to determine funding levels for research and
development, marketing and grower services.
Growers currently pay a levy of 2 per cent of the value of their wool sales, val
ued at around $60 million.
Rain triggers croc breeding season
Good rain in central Queensland this week has triggered the start of the croc br
eeding season.
Koorana Crocodile Farms' John Lever says storms have brought falls of more than
200 millimetres, which has ignited passion in his reptiles
He says it is the earliest egg lay they have ever had.
"We were quite amazed that there was a bit of hanky panky going on there but no
great surge of sexual desire," he said.
"But we got a good spread of rain over about three days and that really got them
going then.
Cattle prices recover
Cattle prices have made a slight recovery as supply tightens across the country.
But there is a big discrepancy between livestock yardings and the number of both
cattle and sheep being slaughtered at abattoirs.
Peter Weeks from Meat and Livestock Australia says many buyers who have enjoyed
good patchy rain are still buying stock or choosing to grain feed.
"We're seeing yardings about 30 per cent up year on year both for cattle and for
lambs at the moment," he said.
"And yet the slaughter side only up about 5 per cent for both.
Rain boosts cotton planting areas
More cotton will be planted in south-east Queensland after some of the best rain
all year.
A band of rain and isolated thunderstorms crossed the region over the weekend wi
th 102 millimetres recorded at Warwick, 64 at Kingaroy and 51 at Warra.
While some of the state's most drought-affected areas missed out, Darling Downs
cotton grower Ian Speed says he can now double his crop planting.
"We'll be able to plant some dryland cotton now, we'd only had about a hundred h
ectares of cotton that we'd pre-watered and now we'll put in probably another 20
0 hectares of cotton," he said.
Rain expected to boost locust numbers
Farmers in Western Australia's wheatbelt received significant rainfall from thun
derstorms at the weekend but it is creating problems for growers trying to harve
st crops.
Falls of between 15 and 20 millimetres were recorded on average but there are no
w concerns the rain will cause an increase in locust numbers.
Entomologist Kevin Walden says the rain will give the current locust plague a bo
ost.

"The adult locusts will survive well now," he said.

"They'll move probably larger distances than they normally would if they didn't
have any rainfall and there definitely is the possibility of an air glade.
Uranium exploration companies booming
Australian uranium exploration companies are booming due to the increasing inter
national focus on cleaner energy production.
Recent floats have been heavily over-subscribed and have closed early, while man
y stocks are doubling their issue price in a single day of trading.
Investment manager with broking house ASANDAS Mark Niutta believes public attitu
des to uranium mining are changing.
WA potato growers urged to pull their spuds early
Potato growers in Western Australia are being asked to pull their spuds before t
hey have reached full yield production due to looming shortages.
A lack of processing potatoes in the eastern states due to drought and frosts ea
rlier in this year has led to a surge in demand.
President of the WA Vegetable Growers Association Jim Turley says because grower
s have been asked to harvest earlier, they should be paid more.
"It is tight all round Australia. The growers are under pressure with their cost
s going up all the time," he said.
Aerial contractors look to cut costs
The drought is expected to cut rice production in southern New South Wales by 80
per cent to 200,000 tonnes.
The crop is normally being sown by plane at this time of the year but aerial con
tractors are reporting a big downturn in business.
Phil Sefton from Field Air at Deniliquin has not employed casual staff this seas
on and is looking at other ways to cut costs.
"There's not many businesses out there that could say if they lost 95 per cent o
f their work they'd be in a very financial position," he said.
Stud breeders seek govt assistance
Stud breeders in the cattle industry say they are worried about the loss of valu
able genetics, unless they receive drought assistance.
Many do not qualify for Federal Government support because of high off-farm inco
mes.
The industry says most of that income is being used to support stud properties d
uring the drought.
Central Victorian murray grey breeder Marilyn Pell says she is going into seriou
s debt but doesn't want to have to sell cows to abattoirs.
"I've paid up to $2,500 just for one cow because she was a well bred cow with he
r genetics," she said.
"If I was to send her in now to get her head cut off you know I'd be lucky to ge
t $400.
Govt playing catch-up on water policy, says Labor
Labor has attacked the Federal Government for not doing enough to prepare the co
untry for drought.
The Prime Minister will hold a water crisis meeting with four state governments
tomorrow to look at critical storage levels in the Murray Darling River system a
nd the implications for irrigators.
The Murray Darling Basin received just 3.2 millimetres of rain last month, the l
owest rainfall since records began.
Opposition agriculture and fisheries spokesman Gavan O'Connor says the Coalition
is playing catch-up on policy.
"Labor proposed a summit on climate change and water some two years ago and that
suggestion was met with derision by the Government," he said.
"Now with the Murray Darling Basin in a state of stress, systems not having enou
gh water to meet farmers needs and some farmers allocations down to 30 per cent

some not at all, the Government has decided to act. It's simply not good enough.
"
Federal Agriculture Minister Peter McGuaran says the current dry conditions are
no-one's fault and steps have been taken to manage low water levels.
Irrigators from the Murray Darling Basin say environmental flows should be used
to boost city water shortages.
The lobby group, Irrigators Australia Limited, has put forward a five point plan
to the Federal Government looking at how to deal with the water crisis.
Chairman Barry Croke says governments should reduce water flows for the environm
ent, instead of buying water off farmers.
"Irrigators' water is needed to feed people and we think that's very, very impor
tant but urban use when it starts competing with irrigation water in this time o
f real scarcity, it's creating an enormous problem to produce food," he said.
"So environmental water is there and normally the gum trees wouldn't be getting
environmental water in this situation and we just believe urbans ought to be sup
plemented by environmental water."
Pumping water
Calls to pump water from northern Australia to the south has received support fr
om a US scientist, who says similar projects have solved water shortages there.
Professor Scott Bassett from the Desert Research Institute in Nevada says water
in rivers and underground basins is worth big money.
He says in the US water is being piped from farming areas to cities because popu
lation growth is outstripping water supplies.
"Water moves uphill and it moves uphill to money. Big cities will pay for their
water supply in such a way as $3 billion canals from Phoenix to the Colorado Riv
er so they'll ship the water from the Colorado River to cities like Phoenix whic
h has the base to supply the economic drive to get the water up there," he said.
But former Californian farmer Spike Dessert, who now lives in the Kimberley, say
s the distance water is piped in the US does not compare with Australia.
He says some pumping schemes are just 300 kilometres long, nothing compared to t
he thousands of kilometres of pipeline that would be needed here.
Expert wants dingo controls relaxed
There has been a call to relax controls on dingoes and even reintroduce them in
some parts of Australia.
In a new book, Professor Chris Johnson of James Cook University says it is impor
tant to conserve the pure-bred dingo.
He says he understands the damage wild dogs cause to livestock but argues the di
ngo is a natural predator of other ferals .
Sponge cake cook-off whips up competition
The men of north-west Tasmania have proved a dab hand in the kitchen, whipping u
p frenzied competition at a weekend sponge cake cook-off.
Fourteen cooks lined up for the men-only competition at the Ulverstone Show on S
aturday.
Entrant Barry Smith says he had a novel way of making sure there was enough air
in his cake mixture.
High rabbit numbers worry graziers
Graziers are concerned that high rabbit numbers will hinder the recovery of past
oral country after the drought.
David Lord of Thackaringa station near Broken Hill says he is concerned that the
calicivirus is losing its impact in controlling rabbit populations.
Mr Lord is calling for a complete stocktake of what is going on with rabbits and
control methods.
"General talk around the bush [is] that rabbit numbers increased over the last s
ix months," he said.
"Definitely need some finance to support a scientific team to get a good handle
on RHD so we know whether any resistance is developing.

Rural Aust fairly protected from interest rate rise: NAB

Rural Australia is expected to ride out any further interest rate rise better th
an most.
The National Australia Bank (NAB) says many farmers have locked their loans into
fixed rates to guard against a rise.
It is widely tipped the Reserve Bank will announce an increase of a quarter of a
per cent tomorrow.
The NAB's general manager of agribusiness, Wayne Carlson, says the farm sector i
s managing its financial commitments much better.
"Of our agricultural loan book there is something in excess of 70 per cent of th
at managed on fixed rate or capped rate, or with interest rate risk management t
ools if you like applied to assist," he said.
WA export holding yards breaching standards: RSPCA
The RSPCA says most live export holding yards in Western Australia breach new na
tional quarantine standards.
The animal welfare body is investigating what it says is a lack of shelter at on
e of the state's biggest ports at Wyndham.
It says cattle, goats and pigs are forced to stand in temperatures of more than
40 degrees for up to three days without shade.
Since the Australian Quarantine and Inspection Service (AQIS) standards are not
enforceable, the RSPCA wants the owner of the yards, the Ord River District Co-o
perative, to provide shelter.
But spokesman Jim Hughes says that is unlikely to happen.
Mr Hughes says the facilities are not part of their core business and they do no
t receive enough rent to warrant upgrading the 80-year-old yards.
"What we get for those cattle yards is no more than a donation," he said.
"In those circumstances why on earth would we want to spend a lot of money on fa
cilities at the yard?"
The new AQIS export standards state registered premises must provide animals wit
h protection from extreme climatic conditions.
But RSPCA prosecutor Robin Moore says he was told the standards are not enforcea
ble.
Japan pressured to lift age limit on beef imports
The US Government is pressuring Japan to lift its age limit on beef imports.
Japan has agreed to accept beef from animals under the age of 20 months in the w
ake of the outbreak of mad cow disease in the US in 2003.
But US Agriculture Secretary Mike Johanns says the 20 month limit is too restric
tive and not the international standard.
Uranium price expected to rise
The price of uranium continues to climb steadily, with predictions it could hit
$US100 a pound by next year.
It is currently sitting at $US60, up from just $US10 five years ago.
ANZ Bank commodities analyst Andrew Harrington does not think the price will go
quite so high but says demand is far outstripping supply.
He says there are 50 nuclear power reactors being planned around the world and t
he supply of uranium from old nuclear weapons is drying up.
"Nuclear weapons, the linchpin in supply for a long time but recycled nuclear bo
mbs are fewer and fewer between in the old Soviet Union and the United States,"
he said.
Dairy co-op lifts milk prices
A dairy co-operative on the north coast of New South Wales is lifting milk price
s to help farmers pay higher costs for grain to feed their cows.
The Norco Dairy Co-op will pay producers just over four cents a litre extra from
January.
Chairman Greg McNamara says there is likely to be a major shortage of milk by au

tumn if farmers are not given support to maintain their herds.

"We're extremely concerned about the cost impact of grain on farmers and how tha
t's actually seeing (a) farmers actually leaving and (b) the current farming sup
ply left is using less grain and getting less milk," he said.
Irrigators await summit decisions on Murray Darling
The Federal Government says it will decide in the next few weeks what action wil
l be taken to help the ailing Murray Darling Basin.
It has been meeting with four state governments this morning to thrash out ways
to salvage river system.
Federal Agriculture Minister Peter McGauran says if there is a repeat of this ye
ar's dry conditions there will be an extreme water crisis across the basin.
But he says the governments have not yet decided whether they will compulsorily
buy back water rights from irrigators to shore up town water supplies.
"Those are the hard decisions that we will prepare for next year," he said.
"We still hope obviously the drought will break but if it doesn't then there are
going to be difficult decisions and people need to be reassured that all govern
ments are working together on this.
"We're going to take action on contingency planning, we'll commission a survey o
f towns and cities' water supply situations, what options are available to us."
The National Farmers Federation says rural towns should be made a priority when
it comes to water distribution.
But chief executive Ben Fargher is worried the decision-makers will not take int
o consideration the huge investment irrigators make in their water allocations.
"We do want a process set up to make sure that we can protect our core breeding
stock, which is our productive base," he said.
"How do we protect those permanent plantings, those crops like orchards and othe
r plantings that take a long-long time to establish."
Meanwhile irrigators in southern New South Wales are anxiously waiting to hear i
f there will be further cuts to their current water allocations.
The New South Wales Department of Natural Resources has suspended trade in the M
urray and Murrumbidgee valleys to assess how much water there is for irrigators.
The department's David Harriss says the review has been prompted by record low i
nflows into storages in the Snowy Mountains.
"That gives Snowy Hydro the capacity to reduce what they call the required relea
ses into the Murray and Murrumbidgee valleys," he said.
NT fruit growers bemoan lost Cup sales
Northern Territory fruit growers are hoping to have better luck on the horses to
day after missing out on lucrative sales for the Cup carnival.
The star fruit, also known as carambola, commands up to $60 a tray at this time
of year.
That is more than double the price received outside of the racing calendar.
Darwin growers like Cheryl are hoping to get the crop back on track for Christma
s.
"It's used a lot in garnishes and in salads," she said.
"We had a problem earlier on in the year with late rains, early cool temperature
s and it just delayed everything - we are about three weeks late with the season
for this time of year.
Tas company builds vineyard bio-protection mould
A Tasmanian company is developing a biological fungicide to control grey
n vineyards.
Biocontrol Australia has won a Federal Government grant to commercialise
gicide.
Dr Dean Metcalf says field trials have reduced the amount of grapes lost
disease by 80 per cent.
He says the biological fungicide works with the help of a micro-organism
native to Tasmania.

mould i
the fun
to the
that is

Good rain benefits Kangaroo Is beekeepers

Beekeepers on South Australia's Kangaroo Island are having one of the best honey
seasons they have experienced in years.
Local apiarist Peter Davis says the large volume of honey is the result of good
rains in autumn and early winter which helped set the flower buds.
He also says the dry mild winter kept the bees healthy and active.
Muswellbrook races cancelled because of heavy track
Racegoers in the heart of thoroughbred breeding industry, the Hunter Valley of N
ew South Wales, do not know whether to laugh or cry today.
Despite being drought-stricken, the local track was soaked by rain earlier this
week, causing the traditional cup day race meeting to be cancelled.
It is normally the biggest event of the year.
The Muswellbrook Races are as well known to the racing industry as the Melbourne
Cup and attract some of the best race horses from across New South Wales.
Conditions were so dry in September and October however, that the club fertilise
d and watered the track to soften it up but recent heavy falls have now made it
too heavy for racing.
Drought hits horse racing studs
Horse racing studs in Victoria say they are being hard hit by the drought.
A lack of spring rains has meant stud owners are buying in feed early this year
instead of usually holding off until summer.
Fiona Smith from Nagambie, in central Victoria, says studs are being forced to p
ass the costs on to customers.
"We've had an increase in feed, feed prices are astronomical at the moment and a
re affecting us quite badly in regards to the cost of everything," she said.
"Unfortunately we've had to increase a drought levy fee onto our agistment so th
erefore owners are incurring extra costs."
Meanwhile country race clubs in New South Wales are concerned about their future
viability.
Orange-based trainer Brian Cornish says low prizemoney, increased feed costs and
high fuel prices are hurting.
"We're trying to get more money here. Everyone is working hard to try and get it
for us," he said.
"That is the only way we will survive on the cost of living here today and train
ing horses.
"The expense of it is getting astronomical now. The thing of it is they want all
the money to go to Sydney. That's where they want the money for them down there
, they're not worried about us very much here.
Calicivirus having an impact around Alice
Research is showing that a re-release of the rabbit killing calicivirus is havin
g an effect near Alice Springs.
Rabbit numbers have increased dramatically in recent years, amid fears the disea
se is losing its effectiveness.
Kym Schwartzkopff from Parks and Wildlife says a number of rabbits have died sin
ce the re-release, but the disease has not spread as far as hoped.
"The main stop of the spread is usually caused through weather, it does seem to
work a lot better within a mild climate where it's a lot cooler and a bit more h
umidity around and a bit more moisture around and the high temperatures that we
have in the centre of Australia and also through the desert regions make it go d
ormant.
Giant Qld dam falls to record low
One of Queensland's largest dams has now fallen to its lowest level yet.
Fairbairn Dam at Emerald supplies 200,000 megalitres of water each year for irri
gation, industrial and urban needs.
When full the dam holds 1.3 million megalitres, but today it is at just 14 per c
ent of capacity.

Nev Wogand from Sunwater says it would take an exceptional wet season to fill th
e dam.
Drought prompts call for seed law changes
A South Australian farmer wants the rules on Plant Breeders Rights (PBR) to be r
elaxed, so growers can donate seed to struggling colleagues.
New grain varieties are subject to the rules, which prohibit growers from sellin
g or even giving away the seed.
Chris Lawrie from Tumby Bay says the seed companies should waive the ban this ye
ar, given the magnitude of the drought.
"Why can't they come out publicly and say well okay, if we either give or sell s
eed to somebody that we notify them of the amount of tonnes we've sold, who we'v
e sold it to, then they've got a record of it all," he said.
Grain-fed cattle numbers down
The number of grain-fed cattle in Australia fell by nearly 60,000 head in the la
st quarter, due to skyrocketing grain prices and the worsening drought.
Figures from the Australian Lot Feeders Associations show a drop in total number
s from 940,000 to just over 880,000, with the biggest drop in Queensland.
Association president Malcolm Foster says South Australia was the only state to
buck the trend, with numbers jumping 10,000 to 27,000.
"There's a lot of cattle that have come out of feedlots that have gone to profit
able markets. Not all of them have been replaced," he said.
"If feedlots can't make the sums work between the price they can get for the cat
tle when they're turning off, and the price they've got to pay for the cattle co
ming in with the current grain price, then they'll just slow up their purchases
of cattle and so you'll see reduced demand and the ultimate outcome of that is f
alling cattle prices."
Meanwhile, Tasmania's only feedlot is looking to import two thirds of its grain
this year due to the poor growing season.
The Powranna feedlot usually buys more than 20,000 tonnes of grain from Tasmania
n growers, but after frosts and a dry season less than half that amount is avail
able.
Managing director Andrew Thompson says the company is looking to the mainland to
make up the shortfall.
Supply shortages felt in pig meat industry
Competition between pig meat processors is heating up in the lead up to Christma
s because of supply shortages.
As a result the market has risen to record highs this week, with liveweight pric
es as high as $3.20 per kilogram.
Greg Richter from Primo Meats at Port Wakefield, in South Australia, says the sh
ortage has been caused by hot conditions last summer.
"There's been a bit of a general infertility problem that happened earlier in th
e year and that's just starting to come through now, it always shows up about ni
ne months after they have the problem," he said.
US wheat industry facing export problems
Despite a boost from Australia's drought, the US wheat industry is facing widesp
read export problems due to quality and disease issues.
India is buying wheat again for the first time in seven years, but mostly from A
ustralia and the Black Sea region, not the US.
"It's because their phytosanitary requirement just can't be met. It just creates
an impossible barrier to trade," said US Agriculture Secretary Mike Johanns,
USDA is working with US Wheat Associaties to reduce these barriers.
But the group's Rebecca Coleman says quality and disease issues are "cropping up
" elsewhere.
"We're having trouble in the EU, we're having trouble in Japan, I'm sure we're g
oing to have trouble in Korea. We're having trouble right now in Kenya," she sai
d.

Ms Coleman says sanitary barriers are now threatening to become more of a proble
m for US wheat in some places than tariffs.
Meanwhile, the Grains Council of Australia says a national survey of grain quali
ty shows it is almost 100 per cent clean.
The National Residue Survey of Australian grain, a joint government and industry
project, revealed that 99.9 per cent of grain for export complied with Australi
an Food Standards.
Funding shortage kills weed research centre
The Co-operative Research Centre for Weeds will close by 2008, after failing to
win further Federal Government funding.
The national research and development body had sought an additional $30 million
funding over seven years, but failed to meet three out of the four necessary cri
teria.
Chief executive Rachel Mcfadyen says it is a disastrous result because climate c
hange will bring on fresh weed invasions.
"Some of the northern weeds will move south, as the temperature heats up so in p
articular for example prickly acacia, mesquite in the grazing lands will extend
their range southwards to western New South Wales and possibly even in Western A
ustralia," she said.
"Things like lantana along the coast will extend its range southward and we do o
ffer advice as to how best manage those weeds and how to limit their spread."
New smut fears in Qld
Tests are underway to confirm whether the disease sugar cane smut has escaped fr
om a quarantine zone in Queensland.
The State Government is expected to announce today that scientists are testing w
hat's being called "suspicious substance", as smut inspection teams survey 600 f
arms around Mackay.
Smut was first found near Bundaberg in June, and authorites had thought it was c
ontained.
The Canegrowers Organisation is refusing to confirm that the disease has escaped
quarantine, but has confirmed testing is underway.
Mixed reaction to drought aid
There has been a mixed reaction to the Federal Government's announcement of drou
ght aid for small businesses reliant on the farm sector.
Businesses which receive 70 per cent of their income from farms in drought-decla
red areas will be eligible for income support and interest rate subsidies.
The Australian Grain Harvest Association says it will help contractors strugglin
g to make repayments on machinery.
But spokesman Rob Gribble is now urging the government to help contractors prepa
re for future droughts, by setting up a version of the Farm Management Deposit (
FMD) scheme.
"In the long term what we request from the Federal Government is some sort of FM
D facility so we can deposit money in good times and draw them out in bad and ho
pefully self manage our way through these things," he said.
Farm machinery dealers say they have been unfairly excluded from the new drought
assistance package.
Vin Delahunty from the Tractor and Machinery Association says most dealers will
not be eligible for aid, because they employ more than 20 people.
"Once again the significant employers in the regional areas, the people who empl
oy the most significant number of skills in those communities, have been left ou
t and to be honest, we don't understand why the Government has taken this action
."
Irrigators say they are skeptical of plans to speed up interstate water trading
to address critical water shortages in drought-hit states.
The federal and state governments have agreed that interstate buying and selling
of permanent water rights will begin on January 1.
But George Warne from Australia's biggest irrigation company, Murray Irrigation,

says there is little water available to ease shortages, because farmer allocati
ons are so low.
"I think it was good they got together, but I'm as a bit of a loss to understand
how permanent water trading is going to help the drought," he said.
New family day care system helps outback NT families
Outback families in the Northern Territory are taking advantage of a new system
of family day care.
The Federal Government lifted the cap on family day care positions earlier this
year.
It has resulted in more opportunities for approved carers, and parents can claim
a child care benefit.
In the Douglas Daly, south-west of Darwin, mothers like Sarah, says it is becomi
ng easier to juggle the farm and small children.
"We do claim the CCB (Child Care Benefit), which is a fantastic help," she said.
CCC investigates further misconduct
Western Australia's Corruption and Crime Commission (CCC) has revealed it has fu
rther evidence of serious misconduct and abuse of power by public officers.
The revelation follows yesterday's startling evidence at the CCC of secretly rec
orded phone conversations between the former minister Norm Marlborough and the f
ormer premier Brian Burke.
The CCC inquiry was originally set up to investigate the handling of a proposal
to build a tourist resort at Smiths Beach, near Yallingup.
But the uncovering of secret phone conversations between Mr Marlborough and Mr B
urke has now changed the nature and course of the inquiry.
Yesterday CCC lawyer Stephen Hall SC revealed the commission had for some time b
een undertaking broader investigations.
He said the investigations supported the proposition that serious misconduct by
public officers has, may have, or is occurring.
Mr Hall said the investigation had been given the highest priority because of th
e need to protect the integrity of government in Western Australia.
AWB's wheat export decision 'disgraceful'
There has been an angry reaction to AWB's decision to block 12 applications to e
xport more than 3 million tonnes of wheat.
The applications were by several companies looking to export to eight countries
but AWB has used its veto powers under the Wheat Marketing Act to prevent the mo
ve.
Chairman of AWB International Ian Donges says the decision will protect the fina
ncial interests of wheat growers delivering grain to the National Pool.
"Quite clearly, if we were to accept the permits that total 3 million tonnes thi
s year we would be derelict in our duty," he said.
"We are now looking at a potential harvest or a pool delivery of 4 million tonne
s so it's very important to maximise those pool returns that we have every tonne
available to service the international market place."
But WA-based grain handler CBH has described AWB's decision as disgraceful.
The co-operative wanted to export wheat to its South-East Asian flour mills.
It is the second time CBH has been knocked back and chief executive Imre Mencshe
ly says AWB has again jeopardised the future of growers in the west.
"We cannot understand how an organisation can hide behind legislation to make a
decision of this nature," he said.
"We've come out and we've said that we can do this on a regular basis and we've
said we'll be out there for five years.
"To deny the growers of Western Australian $40 million to $50 million in a year
of drought, we just cannot comprehend an organisation coming out in that way."
The Federal Government says it will not be pressured into changing the single de
sk wheat export system before the outcome of the oil-for-food inquiry.
Some Coalition MPs are calling for AWB's veto power to be removed but Agricultur
e Minister Peter McGauran says that will not happen yet.

"AWB and other bulk handlers and other interested parties all know that," he sai
d.
Transport sector calls for better infrastructure
The trucking industry says new laws to reduce driver fatigue must be accompanied
by major government spending on roads.
The National Transport Commission has released the final version of its plans to
reduce driving hours and increase penalties in a bid to improve safety.
While many concerns with the commission's initial recommendations have been addr
essed, the transport sector says better infrastructure is needed.
Stuart St Clair from the Australian Trucking Association says drivers can not me
et new rest break requirements unless 21,000 new rest areas are built.
"It's very difficult to put an onus on the trucking industry and its drivers to
perform to the necessary regulations, that's one thing and we accept that respon
sibility," he said.
Democrats' victory makes trade deals harder: consultant
With the Democrats sweeping back into power in the US Congress, the Bush adminis
tration faces a major challenge to its power to broker trade deals next year.
The Congress, even in Republican hands, has passed recent trade deals by the nar
rowest of margins.
Now, with Democrats in charge, Democratic trade consultant and former US Agricul
ture Department trade adviser Paul Drazek sees little hope for renewing the Pres
ident's power to make trade deals, expiring next July.
"I think the changes of his getting that approval are pretty remote now. I mean,
why would the Democrats in the House want to give the President a victory on a
trade issue ... effectively, 18 months before the next election," Mr Drazek said
.
Grain harvesters hit out at farmers' pay rates
Grain harvesters say some farmers are taking advantage of the drought conditions
to reduce their pay.
The Australian Grain Harvesters Association says some large corporate farms in Q
ueensland have dropped their pay rates from $14 dollars an acre to $10 dollars.
President Peter Bradley says despite contractors being desperate for work, there
is no justification for paying less because of poor quality crops.
"The quality of the grain, whether it be good, bad or indifferent this year, is
that there's so little grain around that the price of the grain has risen to dou
ble what they were getting last year and sometimes triple nearly," he said.
Federation won't bend seed rules
The Australian Seeds Federation says it is not willing to bend the rules to allo
w farmers to donate seed to other growers this year.
The South Australian Farmers Federation says plant breeders rights that prevent
certain seed varieties being traded or given away should be relaxed during the d
rought.
But the seed federation's Christopher Melham says any changes would stop seed co
mpanies investing in new varieties.
Fruit growers halve watering times
Victoria's fruit growers are cutting their watering times by half to ensure wate
r supplies will last the season.
Extreme water shortages, particularly in the Goulburn Valley, mean orchardists h
ave had to find ways to stretch their irrigation water.
Senior horticultural adviser Henry Schneider says new watering techniques for st
onefruit are proving successful.
"Peaches respond very well to regulated deficit irrigation (RDI) it's a matter o
f just irrigating those peaches as you would on the normal intervals, say once a
week but cut the irrigation time in half," he said.

Apricot orchard records bumper harvest

An apricot orchard in far western New South Wales has bounced back from having i
ts lowest recorded yield last year to a bumper harvest this season.
The Tandou company says it can not plant cotton near Menindee this year because
water allocations are too low.
But spokesman Vince Trotter says the big results in Tandou's orchard will influe
nce the company's future.
Glider collecting soil, climate change information
A glider is flying over southern New South Wales this week is collecting informa
tion for an international project to understand soil moisture and climate change
.
The European Space Agency is launching a satellite next year to measure soil moi
sture from space and Australian researchers are developing models to interpret t
he data.
The data collected by the glider will make the models more accurate.
The University of Melbourne's Dr Jeff Walker says the aim is to provide farmers
and government with better information.
Wool grower wants mulesing trial money redirected
Wool growers are being urged to start breeding so-called bare-bum sheep now to s
tave off future controversy over surgical mulesing.
The industry has vowed to phase out mulesing by 2010 to placate animal welfare g
roups.
Dubbo grazier Don Mudford is already breeding sheep that do not need mulesing an
d believes the industry should be spending more money on marketing, instead of s
earching for mulesing alternatives.
"Because the day will come whether it's in three years or not, the day will come
when they won't be able to mules but to stop mulesing the whole flock will take
a few years," he said.
Govt urged to dump GST on school boarders' food
There is a call today for the Federal Government to dump the GST on food for boa
rding school students to bring down costs for struggling country families.
Gary Le Duff from the Association of Independent Schools in South Australia says
rural families which send their children to boarding schools should be entitled
to financial assistance.
He says the current application of GST for schools is different to other institu
tions.
"There is an anomaly where boarding food is actually charged GST but if you're i
n a hostel or staying a hospital there's no GST," he said.
Drought takes toll on small native mammals
The dry in central Australia has taken its toll
est MacDonnell Ranges near Alice Springs.
An annual survey has found no central rock rats
Glen Edwards from Parks and Wildlife says while
e than a decade, he is hopeful the species will

on small native mammals in the W

and no desert or native mice.
the results are the worst in mor
re-populate.

Top South Korean chefs tour Australia

Imagination and talent have paid off for five of South Korea's top young chefs,
who are touring Australia after winning a major culinary competition.
The chefs won the trip at the Korean equivalent of the Iron Chef competition, Me
at and Livestock Australia's Black Box Culinary Challenge.
Fourteen teams had an hour to produce a four course meal from ingredients includ
ing Australian beef and lamb.
Interpreter Jinny Kim says the competition is fierce.
Wool growers seek Wool Poll audit
A group of wool growers has lodged a complaint against Australian Wool Innovatio

n (AWI), accusing it of failing to conduct this year's Wool Poll transparently.

The five growers from WA and New South Wales, want to know why 50,000 voting pac
ks were sent out, when there are only 30,000 eligible voters.
The growers have called on the Australian Securities and Investments Commission
to make sure AWI employees do not count or tabulate the votes and are seeking an
immediate post-vote audit.
Signatory Shane Edwards who was an unsuccessful candidate for the AWI board in 2
005, says he has real concerns
"There's a number of people that have contacted me and opinion around [is] that
we're not too sure whether that satisfies true and democratic process," he said.
"So we feel it's important to keep asking these questions because the question i
s this, what has AWI got to hide by denying this democratic process?"
But AWI says this group of growers continues to try to destabilise the Wool Poll
, which it says is transparent in every way.
Japan worried about milk supply during drought
Research and development organisation Dairy Australia says milk may have to be r
edirected from new overseas markets to maintain supplies to Japan.
Managing director Mike Ginnivan has just returned from the country, where he met
buyers worried about the drought's impact on the supply of Australian milk.
Japan receives 20 per cent of Australia's dairy exports and is seen as one of ou
r strongest buyers.
Mr Ginnivan says other Asian markets may have to be sacrificed.
"China is a very difficult market - it's a short term market," he said.
Fishing industry disappointed by orange roughy decision
Tasmania's fishing industry is disappointed by a decision to list the orange rou
ghy as endangered.
It is the first commercially caught species to be listed.
The fishing industry had been preparing for their catch quotas to be slashed to
allow stock levels to recover but were not expecting a complete ban.
Neil Stump from the Tasmanian Fishing Industry Council says the decision makes t
he future of the fishery uncertain.
"I only heard about it yesterday so I haven't had the opportunity to evaluate th
e potential ramifications but I think it's the unknown, what does this actually
mean for us?" he said.
The Federal Government has moved to establish a national standard for biodiesel.
Environment Minister Ian Campbell plans to have a quality standard for blended f
uels within months.
John Keniry from the Australian Biodiesel Group says the standard is needed to g
ive consumers confidence that biodiesel will not damage engines.
But he says more government incentives are needed as well.
"In the US for example, there's a blender's credit and in Europe, in effect, a l
ot of the countries mandating that diesel [say it] has to contain a certain amou
nt of biodiesel," he said.
Wool market closes the week lower
After its recent strong run, the wool market has suffered a slight correction, f
inishing the week almost 2.5 per cent lower.
The eastern market indicator fell 19 cents to 825 cents a kilogram.
Analysts say the fall suggests that prices have risen too fast in recent weeks a
s buyers become nervous about future wool supplies due to the drought.
There was still strong competition from Italian and Chinese buyers at the Newcas
tle sales, especially for broader microns.
But Craig Brennan from Elders says it could be tougher next week, with many prod
ucers trying to make the most of the higher prices.
"Due to the large rise last week the Sydney sale has blown out, originally it wa
s 28,000, it's now increased to 32,000 bales for the week so obviously growers t
hat withheld stock have flooded the market," he said.
"I'd be very surprised if the market held its ground next week with such a consi

derable offering.
Livestock prices lower in WA
A new report in Western Australia has shown significant differences in livestock
prices between the eastern states and the west.
The Department of Agriculture report says saleyard prices for all stock classes
except porkers are well below those on the eastern seaboard.
Trade steer prices were 14 per cent lower and export lambs 16 per cent lower bet
ween March 2003 and September this year.
Tim D'arcy from the Pastoralists and Graziers Association says it is a dramatic
difference.
"It probably averages 50 cents a kilo year in and year out, but it varies anywhe
re between about 20 or 30 cents up to $1.28 a kilo and we're always that far beh
ind," he said.
Greens hit out at Senate inquiry rejection
The Greens are angry at the rejection of a proposed Senate inquiry into the futu
re impact of climate change on rural communities.
The party lodged a motion in the Senate calling for an investigation into what r
esearch is being done to manage lower rainfall on farms.
The motion was defeated 33 votes to 31.
Greens Senator Rachel Siewert says CSIRO and ABARE have told the Senate that no
Federal Government agencies are working on a comprehensive strategy.
NSW to increase renewable energy targets
More wind farms are expected to be built in New South Wales after the State Gove
rnment's decision to increase targets for renewable energy.
Ten per cent of all energy will need to be from renewable sources by 2010 and up
to 15 per cent by 2020.
Already a new $220 million wind farm has been announced for Tarago in the state'
s south, while another development is tipped for Woodlawn, near Goulburn.
State Planning Minister Frank Sartor says more projects will follow.
"There's going to be opportunities for wind farms, for solar, biogas, a bit more
hydro in some niche schemes in the state," he said.
Meat processor offers cash incentives to find new workers
South Australian-based meat processor T&R Pastoral is offering cash incentives t
o try to attract new abattoir workers.
The company is looking for 80 employees interstate to work in plants at Murray B
ridge and Lobethal.
Spokesman Brian Deavey says both meatworks are operating at full capacity as far
mers destock and the additional labour is urgently needed.
"We actually are assisting with relocation costs and housing for people right ar
ound Australia to come to Murray Bridge and to Lobethal, our two South Australia
n plants to work," he said.
Grown in Australia label a step closer
The food processing industry is closer to developing a new label to clearly show
whether food has been grown in Australia.
Producers and some processors are concerned that current labels are misleading w
hen it comes to how much Australian product is included.
The Federal Government has set up a working group to examine the issue and membe
r David Gartrell says they have developed a workable proposal.
"What the working group endorsed at the moment is implementing a grown in Austra
lia logo that would extend original brand options for packaged food products bey
ond the existing made in product of," he said.
School children encouraged to grow 1m red poppies
A South Australian farmer is trying to encourage school children to grow a milli
on red poppies to replace the plastic flowers we buy to mark Remembrance Day on

November 11.
The poppies symbolise the French battlefields where thousands of young Australia
ns lost their lives during World War I.
Nic Kentish from Mount Gambier has developed pre-packaged kits with seeds, pots
and instructions, to encourage students to grow the real thing to raise funds.
Govt unable to contain sugar cane smut disease
The Queensland Government has conceded that it is unable to contain the devastat
ing disease, sugar cane smut.
It was confirmed late yesterday that smut has reached the Mackay area after it w
as first found near Bundaberg in June.
The industry has now turned its focus to limiting the economic impact on the bil
lion dollar sector.
Eion Wallace, from the industry's research and development arm, BSES, says smut
may have been in Mackay for some time.
"The evidence at the moment would suggest that it's an incursion that occurred c
ertainly before harvest and probably before this season, probably," he said.
"Which means that it is not a failure of containment from Bundaberg and Childers
but a separate incursion either at the same time as Bundaberg and Childers, or
subsequent to it."
South of the border, the sugar industry has launched a new round of crop surveil
lance.
Rick Beattie, from the New South Wales Sugar Milling Co-operative, believes the
disease may have been spreading for at least a year but not been detected.
He is asking farmers to check crops, so the disease can be detected early if it
is there.
NT campaign aimed at controlling brumby numbers
Authorities in the Northern Territory are developing an education campaign to tr
y to control the number of wild horses on Aboriginal land.
It is estimated that up to 90,000 brumbies live in the Territory, and Parks and
Wildlife has concerns about the environmental damage they are causing.
Senior wildlife ranger, Kym Schwartzkopff, says the horses have been allowed to
run free and breed up.
"It is very hard to work with people out there that have got an affinity with an
animal, so it's a kind of tread lightly area," he said.
Precise food labelling 'closer'
The food processing industry is closer to developing a new label to clearly show
whether or not food has been grown in Australia.
Producers and some processors are concerned that current labels are misleading w
hen it comes to showing how much Australian product is included.
The Federal Government has set up a working group to examine the issue, and memb
er David Gartrell says they have developed a workable proposal.
"What the working group endorsed at the moment is implementing a 'grown in Austr
alia' logo that would extend original brand options for packaged food products b
eyond the existing 'made in', 'product of'," he said.
Rio Tinto hails emission-cutting pig iron process
Mining giant Rio Tinto has developed a revolutionary method of producing pig iro
n for steel making that could slash greenhouse gas emissions.
Known as HIsmelt, the new technology has taken 25 years and $1 billion to develo
p, and could replace high energy use blast furnaces around the world.
Managing director of the HIsmelt Corporation, Stephan Webber, says the process s
till requires iron ore and coal, but removes the need for massive coke ovens.
Graincorp says lower harvest estimate 2 million tonnes
Grain handler, Graincorp, is sticking by its forecast harvest of two million to
four million tonnes across eastern Australia, despite the worsening drought.
The latest figures show 94 per cent of New South Wales is now affected by drough

t.
But Graincorp's central regional manager, Murray Wilkinson, says some areas are
producing better yields than expected.
"North Queensland and Moree are going to exceed those forecasts that we had in t
o make-up the numbers, and it looks as though Dubbo will as well," he said.
"At this stage we're up to one point two million tonnes in the system and I supp
ose the lower end of the forecast is looking promising at this stage."
Only two per cent of New South Wales is now rated as having satisfactory conditi
ons.
Sheep genome mapping nearly complete
Science is one step closer to providing farmers with a complete genetic map of t
he sheep.
The 'virtual sheep genome' project has mapped 98 per cent of the sheep's genetic
make-up.
That is enough to fast track the identification of the crucial genes for wool an
d meat quality, and even parasite resistance.
Dr Robert Forage, who is leading the joint Australian Wool Innovation/Meat and L
ivestock Australia project, says the sheep's genetic jigsaw is still not quite c
omplete.
"It's put together using bits and pieces of information not only from the sheep
but also from the cow and from the human as well," he said.
"So we don't have all the information we need from the sheep.
"We've put some pieces of the jigsaw puzzle together but there are still holes i
n it - we think we know where everything fits but we don't have the complete seq
uence yet."
Sugar cane farmers brace for smut impact
The Queensland government is trying to assess the economic impact of sugar cane
smut on the state's sugar industry.
The crop disease was found at Mackay last week, after first being detected near
Bundaberg in June.
The Government is moving away from trying to contain the disease.
The Government has appointed an independent economist to head up a team to asses
s the impacts and identify measures to manage the problem, and facilitate econom
ic recovery.
The team will report by December 18.
A stakeholder meeting on Friday was told replanting with resistant varieties ove
r the next five years will cost an estimated $800 million, with an additional bu
rden of a 10 per cent reduction in yield.
IR changes to hit rural workers: unions
Unions say new Federal Government plans to allow companies to stand down workers
without pay when there is no work will particularly hit rural employees.
The Australian Workers Union (AWU) says the plan to allow stand-downs during nat
ural disasters like drought will leave rural workers without pay and unable to c
laim the dole at the worst possible time.
Stand-downs are already common with many rural employers, such as abattoirs, but
Roger Fletcher from Fletcher International Exports says it is best for companie
s to negotiate with workers.
"It's vitally important," he said.
"There's no point in someone in Canberra or Sydney trying to run our business in
a different area.
"This is important in a lot of things we do across Australia.
Qld Govt mulls water charge freeze
The Queensland Government says it will consider calls for a freeze on water char
ges.
The lobby groups Agforce and the Queensland Farmers Federation want charges waiv
ed for irrigation water that will not be delivered this year.

Natural Resources and Water Minister Craig Wallace says the Government is costin
g the proposal, but wants the Federal Government to contribute.
"The Acting Premier has given an undertaking to consider the Commonwealth and Ag
force to implement water charging rate relief for people who are in exceptional
circumstances," he said.
Water a hot topic in Vic election
Victorian farmers say water is their key voting issue in the run-up to the state
election later this month.
Transport, the city-country divide and better roads are also among concerns, acc
ording to a poll of farmers at the Shepparton sheep sale, in the Goulburn Valley
.
"My main issue would be water and Lake Mokoan," said one farmer.
"About the closure of that, it's just not a good thing to happen, it's going to
affect communities around this area.
"Whoever provides the most action on water will get the votes."
"Spending less money in the cities and more on the country people, and the water
issue - the poor Goulburn irrigators having to pay for water they can't get," s
aid another.
"I'm disappointed in the Government's attitude to farmers our roads and bridges
are shocking," another farmer said.
Another, from Tallygaroopna, said water was the biggest issue of the campaign, a
s did a farmer from Moama:
Water cuts force farmers to make difficult choices
Farmers in south-west New South Wales growing grapevines and citrus trees are st
arting to consider which areas of their properties they will stop watering as a
result of water allocation cuts.
Cheryl Rix from Western Murray Irrigation says irrigators were bracing for anoth
er cut to their water entitlements, but no one expected a 32 per cent reduction.
She says horticulturalists need to look at all the available information so they
can make sound business decisions.
"I'd certainly encourage growers to really think about talking to their buyers a
nd wineries and working out what will be will be bought next year and chase down
the financial counsellors and look at the exceptional circumstances," she said.
"The Department of Primary Industries will be running some sessions starting nex
t week to look at how we can manage water better on farm."
The state's Department of Primary Industries is sending an emergency response te
am to to help farmers in the Murray and Murrumbidgee regions who have had their
water allocations cut.
NSW irrigators say crops at risk after water cuts
Irrigators in southern New South Wales are reeling after unprecedented cuts to w
ater allocations.
Water for both the environment and agriculture has been pared back.
Inflows over the past five months have been the lowest on record and the NSW Gov
ernment says town water must take priority.
High security and carry over water in the Murray has been cut by another 32 per
cent.
While in the Murrumbidgee General security allocations have been cut by 5 per ce
nt and high security users will see a 10 per cent reduction, Murrumbidgee Irriga
tion's Brett Tucker says agricultural production will be decimated.
Shearers spin yarns at WA reunion
Shearing teams from the 1960s have spent the weekend reliving tales, at the four
th WA Shearers' Reunion near Perth.
The event is to keep alive a part of the state's agricultural history, since the
demise of the old shearing teams which spent months on end travelling through t
he Pilbara and Kimberley.
Don Mercer, 80, was a shearing contractor from Wagin.

"The first year I was running a shearing team I had a shearer who got quite drun
k and decided that he'd fire a couple of shots into my room while I was in it,"
he said.
US Democrats tipped to push for animal ID system
Tthe new-look US Congress is expected to push for mandatory country of origin me
at labelling and an animal identification system next year.
Democrats newly-elected to the majority will take the lead in writing the next U
S Farm Bill.
And Colin Woodall with the National Cattlemen's Beef Association says livestock
issues will be key.
"Including country of origin labelling [and] a ban on packer ownership," he said
.
"As far as animal ID, we think that also is going to come up."
Meat and Livestock Australia has consistently opposed mandatory labelling for gr
ound beef, which could burden US processors and retailers with costs so high the
y would reject imported product.
WorkChoices changes leaves rural workers 'vulnerable'
The High Court has dismissed the states' challenge to the Federal Government's n
ew WorkChoices legislation.
The states had argued the Commonwealth's use of the Corporations Act to underpin
its new workplace reforms was not constitutionally valid.
The High Court's ruling today says it is.
Tim Kennedy from the National Union of Workers says the decision crushes the awa
rd system and leaves low paid rural workers in a vulnerable position.
"Essentially for many many years a lot of rural and regional workers who work fo
r small employers have relied on a state award system and arbitration system to
set minimum terms and conditions," he said.
"They basically have ensured the public interest of people getting paid that can
support a family if you like.
Chicken deaths blamed on chemical in feed
The deaths of almost 50,000 chickens on two farms near Brisbane has been attribu
ted to an accident involving a load of feed.
The food contained high levels of Nicarbazin which is used to control parasites.
The farms and the feed supplier have not been identified by Queensland Health or
food safety authorities.
Dr Andreas Dubs from the Australian Chicken Meat Federation says the 150,000 chi
ckens that recovered from last week's overdose have been cleared for human consu
mption.
"The chemical is one which is used as medication quite frequently," he said.
"But in this instance it shouldn't have been there and it was present in the fee
d at a much higher dose than it would normally be used.
Wheat prices fall as panic buying eases
After a bullish run, wheat prices have fallen around $50 a tonne on the domestic
market.
Widespread panic buying by millers and feedlotters has eased, with the market fa
lling heavily as more of the nation's crop is harvested.
Chairman of AWB International Ian Donges says there has been a reduction in tend
er activity and the cash price.
"I noticed back when the harvest started in southern Queensland the market was r
oughly between $300 and $330-$340 a tonne," he said.
Banks struggle to meet country demand for managers
The big banks say they are finding it hard to attract branch managers to country
towns.
Most of the banks say they have doubled and tripled staff numbers in rural areas
after the closure of hundreds of branches during the 1990s.

Rabobank has doubled its rural presence to 46 regional offices and employed an e
xtra 140 staff.
Westpac has employed an extra 80 people nationally this year and doubled the siz
e of its graduate program.
The National Australia Bank (NAB) has employed an extra 120 people in its agribu
siness unit over last two years.
NAB spokesman Wayne Carlson says the company has had to offer 'sweeteners' to lu
re more bank managers.
AWI meeting discusses challenges
The major challenges facing the wool industry are being debated today at the ann
ual general meeting of peak body, Australian Wool Innovation (AWI).
Around 200 wool growers have converged on the RSL club in Armidale, in the heart
of north-western New South Wales, to hear about the report card on Australian W
ool Innovation for the past year.
On the agenda, the progress of the proposed merger with Australian Wool Services
despite an estimated $27 million UK super debt, also the court case with animal
rights group PETA and the last minute jockeying, hand shaking and electioneerin
g by the new candidates is well under way.
The results of the elections to finalise the new AWI board will be announced lat
er on today.
Dairy farmers to vote on R&D contribution
Australia's 6,000 dairy farmers will go to the polls early next March to vote on
how much they are willing to contribute to research and development.
Farmers pay 0.32 cents per litre of milk sold which, coupled with Federal Govern
ment support, generates around $50 million a year.
Pat Rowley from Dairy Australia says it is hard to ask farmers to step up their
financial support during the drought but it is critical for the industry's futur
e.
Long range forecasters look to autumn rainfall
The Bureau of Meteorology and other long range weather forecasters are predictin
g a better outlook for drought-hit areas by autumn next year.
But there is still some debate about how much better.
Most long range forecasters agree it is not yet an exact science and they are us
ing different systems.
But David Stephens from the WA Department of Agriculture is predicting an 80 per
cent chance of a good autumn break.
In Victoria, independent forecaster John Moore says there is 90 per cent chance
of an average year starting with heavy falls in February or March.
Queensland Sunspot observer Owen Beneict expects the dry to continue.
Uranium action plan endorsed
The Federal Government has endorsed a two-year action plan to remove impediments
to the growth of Australia's uranium industry.
The Uranium Industry Framework Steering Group has released a report which outlin
es recommendations for better public information and suggests involving Indigeno
us communities in uranium mining.
Michael Angwin from the Australian Uranium Association says global demand for ur
anium is growing quickly.
"The report is going to help Australians think about the industry on its merits,
" he said.
"It's a factual and dispassionate review of the prospects for the industry and o
f the impediments to its development.
CBH awaits board approval for Broken Hill
A new zinc, lead and silver mine has been
outback New South Wales, that should lead
Sydney-based CBH Resources plans to start

mine
given the go-ahead at Broken Hill, in
to 90 new jobs.
work in January opening up an unmined

ore body within the famous line of lode.

But general manager of the Rasp mine, Visko Suluchich, says the company board st
ill needs to approve the project.
Rockmelon prices increase
Rockmelon growers in Western Australia's Ord Valley have received prices that ar
e up to 10 per cent higher this year.
Rockmelons are the biggest horticulture crop grown in the region, worth $7 milli
on a year.
Grower David Menzell says the first price rise in 10 years is largely due to a s
hrinking number of growers across northern Australia.
But transport woes continue to plague growers, who are competing with other crop
s for trucks.
"Our major issue is that Perth is a relatively small market but that's where the
transport was available so a lot of fruit went to Perth that would probably wou
ldn't have if we had other options and depressed prices there," Mr Menzell said.
'Murchopoly' aims to open people's eyes to pastoralism
A couple of creative women from the Murchison in Western Australia's pastoral re
gion, have transformed the game of Monopoly into their own 'Murchopoly'.
In their version, rather than buying Trafalgar Square, players chase Milly Milly
Station.
And rather than going to jail, players go into drought, but thankfully, in this
game, you can get out free with a rain card.
Murchison resident Louise Sellenger says the game is designed to show how the ar
ea is unique.
"I suppose it's more [about] opening people's eyes to pastoralism itself [and] h
ow different it is to everyday living," she said.
"You've got various bits and pieces to do that aren't normal farming.
Wallaby meat processing industry proposed for King Is
Tasmania's King Island farmers want to start processing wallaby meat after the d
ismissal of an appeal against culling.
The Administrative Appeals Tribunal ruled against the Wildlife Protection Associ
ation of Australia in its efforts to stop farmers shooting and exporting wallabi
es.
Island land holder Hayden Bostock says the door is now open to develop the local
industry.
"It would employ local people, could then cryovac your product, put the King Isl
and logo on there and bang off it goes," he said.
"That would be the most sensible thing to do.
Woolgrowers back AWI directors
Woolgrowers have shown support for the direction of their peak body, voting to r
etain the current board directors of Australian Wool Innovation (AWI).
Growers have also voted to keep a wool tax of 2 per cent to fund AWI's marketing
and research.
Five candidates had nominated for the three available positions on the board, an
d AWI chairman Ian McLachlan is happy that growers have backed the status quo.
"The board's doing the best it can," he said.
"I don't want to get into a discussion about about people who didn't get onto th
e board and so forth, all I'd say is that I would like to see these elections co
nducted in a, for want of a better term, in a gentlemanly fashion, because this
industry is far too important to have individuals badmouthed not only at electio
n time but through the whole year, so in the future I would just hope we would m
arch on together because there's some prosperity out there if we get it right,"
he said.
Healthier oil may lie in Canadian canola
Work is under way to try to develop a healthier oil for commercial cooking.

Canola oil is not suitable for baking, fried foods and margarines because it doe
s not have a long shelf life.
The Victorian Department of Primary Industries is part of an attempt to breed a
Canadian canola variety that is resistant to the disease blackleg, so it can be
grown in Australia.
Breeder Laura Maher hopes the new oil will be put to the test next year.
Grape growers, orchardists prepare for NSW cold snap
Grape growers and orchardists in the central New South Wales ranges are preparin
g for a predicted cold snap over the next two days.
Sub-zero temperatures are being tipped, which could bring further frosts, which
caused damage to apples, cherries and grapevines two weeks ago.
Angullong grapegrower James Crossing has bought a spray which he hopes can limit
frost damage.
"Well currently we are just mapping out low-lying areas of the vineyard to deter
mine the areas that are likely to be damaged by frost, then we will be spraying
with a polymer spray to protect those vines from the cold weather," he said.
"We are looking at about $400 a hectare for the chemical and application and we
are looking at doing ten to fifteen hectares."
Author predicts new direction for wheat exports
The author of a new book looking at AWB's governance, says there is mounting pre
ssure from grain growers to completely deregulate Australia's wheat export marke
t.
Under the present system, AWB operates the single desk and has the right to veto
bulk export applications from any other company.
But director of Australia's National Institute for Governance Stephen Bartos bel
ieves that will have to change.
And for the first time, the east coast producer group, the Grains Growers Associ
ation, has outlined its vision for the future of wheat exports.
Farmers call for consultation over water crisis
The National Farmers Federation is calling on the Federal Government to give far
mers a place at the negotiating table, when deciding policy to deal with the cur
rent water crisis.
It says ad hoc state decisions, like the 32 per cent reduction of carry-over wat
er for New South Wales irrigators, are damaging farmer confidence in water secur
ity.
NFF president David Crombie is defending the lobby group's role in influencing t
he debate.
Tasmania outlines water plan
Tasmania is putting forward its case for new developments under the National Wat
er Initiative today.
Primary Industries Minister David Llewellyn is holding talks with Federal Parlia
mentary Secretary for Water, Malcolm Turnbull.
Mr Llewellyn says Tasmania has water shortages due to the dry season, and needs
infrastructure for irrigation, and regional water supplies.
Skills shortages, increased costs hit mining investment
Investment in Australian mining developments remains strong, but a new report sa
ys skills shortages and increased prices for materials and construction are caus
ing delays, and driving up project costs.
The Australian Bureau of Agriculture and Resource Economics (ABARE) says a recor
d 94 projects, valued at $34.9 billion, are in the advanced planning or construc
tion stage.
More than half are in coal and oil, with strong investment in iron, nickel, gold
and alumina.
Involve agriculture in carbon trading talks, adviser says

An adviser in carbon trading says the agriculture sector needs to be involved in

talks about setting up an Australian trading system.
Carbon trading encourages companies to offset the release of greenhouse gases, b
y planting trees or paying someone else to plant them.
Prime Minister John Howard wants to set up a taskforce to develop a carbon tradi
ng plan.
Tony Beck from the Australasian Emissions Trading Forum says agriculture's role
as a carbon sink needs to be taken into account.
"We don't know a lot about what's going to be involved," he said.
Wagyu property on market for $110m
A unique beef property in the mid-west of Western Australia has hit the market w
ith a price tag of $110 million.
The 30,000-hectare property includes 20,000 head of the elite breed of Wagyu bee
f.
Selling agent John Garland says the asking price is strong, despite the dry cond
itions that have been felt across much of WA this year.
"We're not seeing any fall back in prices at all," he said.
"If anything, one can say its been a constant, contained firming of values.
"Certainly there's a premium involved in the culmination of the cattle and land
here.
"The price at what we only say is around two and half thousand a hectare in gene
ral terms is justified, if with it, goes the herd of 20,000 Wagyu head of cattle
."
Meanwhile, one of Australia's most famous cattle station resorts has shed its in
terest in livestock.
El Questro, in northern Western Australia, was sold to an international tourism
group for $17 million earlier this year.
The Voyages, Hotels and Resorts Group has sold its 5,000 head of cattle, and agi
sted the property's 404,000 hectares.
Spokesman David Hedges says the decision will allow the company to focus on its
core business.
Biodiesel club to produce cheaper fuel
Farmers in north-west Victoria have formed a biodiesel club to produce cheaper f
uel.
The Sunraysia biodiesel club has about 25 members and is experimenting using rec
ycled fish and chip shop oil, and plans to grow crops specifically for biodiesel
.
Club member Paul Geering hopes the locally produced fuel will reduce costs for m
embers by about half and says the final product depends on the quality of the or
iginal oil.
Burdekin River regeneration underway
Work has begun on the regeneration of the Burdekin River catchment in North Quee
nsland.
The Burdekin is one of nine Australian rivers to be targeted by Greening Austral
ia's Rivers to Recovery program.
Spokesman Bob Osborne says the Burdekin is one of the most endangered ecosystems
in Queensland, with the project to take up to 20 years, and cost around $20 mil
lion.
"We're trying to get less nutrients in the water, which means more money for far
mers; get rid of the weeds in the water system, that brings back oxygen, that br
ings back fish and that gets the community in," Mr Osborne said.
Ram breeders on show
The Ram of the Year is a feature event of the annual Monaro merino ram sales in
southern New South Wales this week.
Buyers from across the country are being selective in their purchases during the
drought.

Winning ram breeder John Shiels, of Cottage Park, is going out on a high, retiri
ng after 56 years of breeding and selling, and hopes the industry has a strong f
uture.
Severe frosts prompt call for financial help
Tasmanian apple, pear and cherry growers are calling for financial assistance fo
llowing record severe frosts in the past two months.
Fruit Growers Tasmania has started talks with the state and federal governments,
asking them for interest rate subsidies and to waive the asset test for Centrel
ink support.
President Tim Reid says some growers have lost 90 per cent of their crops and ma
ny will not have a positive cash flow until the harvest in early 2008.
O'Connor to fight preselection decision
Federal Labor's agriculture spokesman Gavan O'Connor says he will appeal against
his party's decision not to support him as an election candidate.
Mr O'Connor lost preselection in his Victorian seat of Corio earlier this year.
Leader Kim Beazley says Mr O'Connor will not be removed from as the Opposition's
agriculture spokesman before next year's federal election.
Mr O'Connor says he is determined to stay on.
"I don't intend to roll over to a bunch of factional spivs," he said.
Snowy Hydro accused of putting power before people
Irrigators in southern New South Wales are accusing electricity generator Snowy
Hydro of putting power before people.
The company is under fire for holding back water from the Murray River.
Murray Irrigation says cut backs to water allocations have put stock and domesti
c supply to up to 2,000 farms at risk.
Director Kel Baxter says although Snowy Hydro is legally allowed to hold back th
e water it is morally wrong.
"I don't want to see the power grid fail we've got to have power but a little bi
t of power rationing because we're short of the water to generate the electricit
y with, is that too much to ask?" he said.
The NSW Minister for Natural Resources, Ian Macdonald says releasing the water w
ould jeopardise electricity contracts.
"Snowy Hydro has enormous contracts that it is bound to abide by and if those co
ntracts are broken then taxpayers will pay hundreds of millions of dollars," he
said.
Snowy Hydro has refused to comment.
Meanwhile the Victorian Government is planning to resume environmental flows int
o the Hattah Lakes in the state's north-west.
The program to water red gums was halted on Friday while water resources were as
sessed.
The Department of Sustainability and Environment says another five gigalitres of
water will now be pumped into the area, to top up the nine and a half gigalitre
s already used.
But Robert Mansell from the Murray Valley Citrus Board says horticulturalists do
not want to see water being wasted.
"We all know that there's a shortage of water, we think that it probably needs t
o be managed a bit better," he said.
"It is just a principle in a time of drought.
Grain demand boosts index
Strong demand for grain in the global market has helped to boost the Westpac-NFF
Rural Commodity Index for October.
The index rose 6.4 per cent on the back of global price gains in wheat, barley,
beef, canola, dairy and wool.
Coles Myer planning to double homebrand range
Coles Myer says farmers should not fear the growth of generic homebrand lines.

The company, which owns the Coles and Bi-Lo supermarket chains, is planning to d
ouble its homebrand range to 2,000 products within the next few years.
Many fruit and vegetable growers are worried that the supermarket giant will buy
low-quality, cheap imports to fill the range.
But group quality manager Jackie Healing says the move should be looked at as mo
re of an opportunity than a threat.
"This is northing to be worried about," she said.
"The growth of house brand is a fantastic mechanism for driving quality and cust
omer satisfaction, growing sales and increasing loyalty to the Australian market
.
MLA defends red meat campaign in light of breast cancer research
Meat and Livestock Australia (MLA) is defending its campaign encouraging people
to eat more red meat, despite new US research suggesting it can cause an increas
ed risk of breast cancer.
Harvard University surveyed 90,000 women between the ages of 26 and 46 over 12 y
ears.
The university says the results showed there was an increased risk of breast can
cer, particularly from the regular consumption of processed meats.
But MLA's general marketing manager David Thomason says the "eat red meat" campa
ign is also based on scientific research.
"We don't discount any research," he said.
"I mean it's important in nutrition research to see it in context.
"There are no two nutrition research studies that necessarily show the same resu
lt and this is one study amongst many.
Incitec Pivot announces
Fertiliser manufacturer
t of $83 million, up 73
Over the past 12 months
lion off costs.

record profit
Incitec Pivot has announced a record after-tax net profi
per cent on last year.
internal cost cutting has shed 100 jobs, shaving $30 mil

Qld producers look to cattle from interstate

Cattle from South Australia and Victoria are being sent to Queensland because se
asonal conditions have improved in the past few weeks.
Jack Gleeson from Elders in South Australia says many Queensland producers are h
olding onto their cattle after recent rain and the market is looking for livesto
ck from interstate.
He says the rain has not produced more feed for livestock yet but it has changed
market attitudes.
"It hasn't necessarily produced a huge body of feed in two weeks but the percept
ion of the industry there is that their season has taken a turn for the better,"
he said.
Drought may force return of livestock
Farmers in south-west Victoria who have been "parking" dairy cows from drought a
reas, say they may soon have to send them back.
The big dry is now spreading to high rainfall areas forcing farmers to begin han
d feeding.
They are also worried that drinking water will run out before the end of summer.
Bernard Baxter from Simpson says farmers will have little choice but to send liv
estock home.
"I think that will come to a grinding halt," he said.
"It's going to be life support mode at the moment and everybody for themselves t
o basically reassess the situation because only about a month, six weeks ago we
still could have had the best year ever possible if the rains had of continued b
ecause it has turned for potentially the worst for our area here.
Ag machinery company folds
A South Australian agricultural machinery business is the latest victim of the d

rought.
Heaslip Products has gone into voluntary liquidation after operating for 100 yea
rs.
Managing director Joff Bound says the company has endured previous droughts but
sales this year have have completely dried up.
"The company doesn't have a market because our customer hasn't got any money to
buy new machines and he's going to have a bit of debt to repay probably after th
is drought disappears," he said.
Fishermen not hopeful of major change to illegal fishing surveillance
Fishermen in the Gulf of Carpentaria are not expecting too much out of a meeting
between federal Fisheries Minister Eric Abetz and his Indonesian counterpart to
day in Brisbane.
Senator Abetz is expected to ask the Indonesians to help patrol northern waters
to curb illegal fishing but local fishermen say that will not address the damage
already done to their fishery by foreign boats.
Chairman of Gulf fishermen Gary Ward says greater surveillance would be welcome
but he is not hopeful of major change.
Rock lobster fishers hopeful of price recovery
Tasmania's rock lobster industry expects prices to finally recover to pre-SARS l
evel this season.
Fishermen have struggled with low prices since the SARS virus decimated Asian ma
rkets in 2003.
Rodney Treloggon from the Tasmanian Rock Lobster Fishermen's Association says th
e early signs of buoyant markets in China are promising.
"I don't think the general community realises just what a devastating effect SAR
S had right throughout the fishing industry, not just the rock lobster fishery,"
he said.
Snow falls surprise NSW residents
An unseasonal cold snap sweeping through Victoria and Tasmania has taken parts o
f New South Wales by surprise.
After falling for most of yesterday, snow is still lying on the ground across th
e Monaro and southern tablelands.
There are also reports of snow falling at Armidale and Walcha in the state's nor
th today.
Robert Taylor from Cooma says they can get snow at any time of the year.
"Not often but it does happen," he said.
"My father has seen snow on this place every month of the year throughout his li
fetime, not all in one year, but during his lifetime he's seen it.
Tuckey's AWB plan creates further uncertainty for growers: Joyce
Liberal MP Wilson Tuckey is under fire for planning to ask Parliament to vote on
removing AWB's veto powers over wheat exports.
National Senator Barnaby Joyce says Mr Tuckey's plans for a private member's Bil
l creates further uncertainty for growers.
Mr Tuckey wants the veto removed so WA grain growers can sell their wheat to ano
ther exporter for a higher price.
But Senator Joyce says the enemies of Australia's single desk for wheat exports
in the US and Europe will seize on any disunity within the Federal Government.
AWI and PETA case will go to trial
A Federal Court judge has told lawyers for Australian Wool Innovation (AWI) and
People for Ethical Treatment of Animals (PETA) that their case has chewed up too
much time and a trial date will be set.
Justice Rares made the order today, two years after the AWI launched legal proce
edings against PETA over its attack on mulesing and live exports.
He ordered all parties to appear before him on December 14 for what he described
as a "substantive case management debate".

The judge said the time had come to bring some order to the case, in which AWI a
nd 101 wool growers are suing PETA for its campaign aimed at getting internation
al retailers to boycott Australian wool.
Justice Rares told lawyers they must present all evidence and full witness lists
, and asked them to consider if they want a jury trial.
Mining company signs carbon trading deal with graziers
A major mining company has signed a carbon trading agreement with Queensland gra
ziers, paying them to keep their trees for the environment.
In a landmark deal, Rio Tinto will pay three landholders in the Charleville area
well over a million dollars to offset the release of greenhouse gases.
Broker Mark Jackson from the Carbon Pool company says it does not mean the land
is off limits.
"They continue their current management of the land, which is to say leave the c
urrent vegetation intact, continue with sustainable grazing activities so that t
he land is not locked up and doesn't become infested with weeds and feral animal
s, and they're relinquishing their right to clear," Mr Jackson said.
US Farm Bill will have strong farm income protections
The new chairman of the US Senate's Agriculture Committee says the next US Farm
Bill will have strong farm income protections, despite a global push to cut subs
idies.
Tom Harkin argues the White House has siphoned billions (of dollars) from renewa
ble energy, rural development, research and conservation, and he plans to fix th
at.
But Mr Harkin is also committed to farm supports in next year's US Farm Bill.
"I will continue to view a good, sound system of farm income protection as essen
tial," he said.
And Mr Harkin promises to finally implement long-delayed mandatory country of or
igin meat labelling, strongly opposed by Australian producers.
"USDA has had plenty of time to figure out how to make it work. So you can bet y
our bottom dollar it's going to be part of our farm Bill," Mr Harkin said.
Road infrastructure making it harder for grain transporters
Bulk grain transporters say Australia's road infrastructure is so poor they are
having difficulty carting this year's reduced harvest from silos.
The Australian Livestock Transporters Association says its Western Australian an
d New South Wales grain carrier members are carrying more grain this year becaus
e rail operators have scaled back their harvest work.
Executive director Luke Fraser says a lot of the crucial network is not suitable
for bulk carriers, so transporters face the expense and time delay of navigatin
g a series of different state permit systems.
"We're finding it increasingly around the country," he said.
Harvester safety reviewed
Several hundred harvesters in New South Wales might have to be fitted with a saf
ety device after the settlement of a high profile court case.
WorkCover is withdrawing its prosecution of machinery manufacturer CNH Australia
and a New South Wales dealer over a 2003 farm accident, where a worker lost his
leg while trying to clear a blockage in a combine harvester.
CNH Australia's Stuart Redman says the company has agreed to design, test and fi
t a device to make the particular model of header safer.
"It's probably going to be like an interlock device on the ladder accessing the
top of the combine and once the farmer pulls down the ladder then it will cut of
f the machine. It's still very much in design and test phase at this stage but t
hat's what we will be looking at," Mr Redman said.
The agreement only applies to the case IH 2388 header in use in New South Wales.
SA ban on GM crops extended
A moratorium on genetically-modified crops (GM) in South Australia has been exte

nded to 2008.
The Upper House of the State Parliament passed the extension Bill last night aft
er motions by the Greens and Democrats to extend the ban to 2009 were defeated.
The decision brings SA into line with the crop bans in Victoria and New South Wa
les.
SA Democrats leader Sandra Kanck believes the drought is being used to push the
introduction of drought-tolerant GM crops but says the technology is not yet rea
dy.
"The lobbyists for GM foods and GM crops are very, very effective and there is t
his desire that's held out to people that you could make more money," she said.
Talks aim to lift live sheep export ban
The Federal Government is in talks with Israel to try to lift a ban on live shee
p exports from Australia.
The ban was imposed after six sheep were found to have scabby mouth disease on a
shipment last month.
Israel buys just 1 per cent of Australia's live sheep exports and 6 per cent of
live cattle.
Livecorp's Cameron Hall has confirmed 241 cattle died on another shipment to Isr
ael this month and he says Australia's reputation could be harmed.
Dairy industry task force to help farmers
Major milk processors are offering dairy farmers interest free loans for additio
nal water and feed to help them through the drought.
As the dry threatens to lift costs and cut production, processors will also set
up a dairy industry drought task force to help farmers get access to government
funding.
The Dairy Farmers Milk Co-operative has announced it will spend nearly $8 millio
n to help farmer members.
And Ross Greenaway from Murray Goulburn says additional water is an integral par
t of their package.
"People that are buying temporary water on the market we're about to announce th
at we will be extending that interest free finance from the beginning of October
," he said.
Abetz secures agreement for coordinated fishing patrols
The Federal Fisheries Minister says he is confident that Australia and Indonesia
can work together to crack down on illegal fishing in our northern waters.
Senator Eric Abetz met with the Indonesian Fisheries Minister yesterday and has
secured an agreement for coordinated patrols along fishing zone boundaries.
He says Australia does need to be self sufficient in the fight against illegal f
ishing but says support from Indonesia will help.
"The Indonesian Minister was very supportive of the concept of coordinated patro
ls which would see the Indonesian navy patrolling on its side of the border," he
said.
Beef producers' income increases
Beef producers in Australia made more money this year, according to the annual f
arm survey by the Australian Bureau of Agriculture and Resource Economics.
Chief commodity analyst Terry Sheales says while the final figures have not been
analysed, 2005/06 shows a substantial income increase.
He says it is the temporary result of better prices, better seasonal conditions
and improved productivity
French judge praises Australian wine quality
A French wine writer who is judging at the National Wine Show in Canberra has pr
aised the quality of Australian wine.
The premium show only takes wines that have previously won gold and silver medal
s.
Michel Bettane has 15,000 wines in his a bulging cellar and believes Australian

wines are improving every year.

"I think the average quality is higher for the best wines because the wines are
more precise, more elegant and perhaps more complex," he said.
Water restrictions may be toughened in Adelaide
The South Australian Cabinet is considering tougher water restrictions for Adela
ide by the end of the year.
The River Murray Minister, Karlene Maywald, says she is disappointed that the ci
ty's consumption has increased since restrictions took effect.
She says stronger limits are needed because of a lack of understanding in Adelai
de about the seriousness of the water shortage.
"I'm certain that Adelaide people don't understand the severity of the situation
because we need to get that this is not a normal circumstance and this is the w
orse drought in history," she said.
Drought claims grain exporter
Best Western Commodities, a major container grain exporter at Grenfell in New So
uth Wales, has appointed an administrator after business slowed due to the droug
ht.
The company says there are no outstanding debts to farmers or carriers but there
are a number of major creditors.
Patrick Haire, from the Rural Market and Supply Association, says farmers should
check out all of the organisations they are doing business with.
"Our members encourage farmers to come and sit down, and talk with them if there
are any concerns by growers about the merchants they are dealing with," he said
.
Wheat growers to be consulted over changes to single desk
The Deputy Prime Minister says the Federal Government will consult wheat growers
, before making any changes to the single desk export system.
Western Australian MP Wilson Tuckey is threatening to introduce a private member
's Bill in the Senate, calling for the removal of AWB's power to veto export app
lications.
Other Government MPs are also calling for the veto to be removed once the Cole i
nquiry report is handed down.
But Mark Vaile says the Government is not going to be rushed into any hasty deci
sions.
"The Cole inquiry is focused on the activities of three companies, what you're t
alking to me about now is the future arrangements to manage and market the Austr
alian wheat crop," he said.
Drought support package extended
The Federal Government has further extended its drought support package.
The Drought Force program, which allows farm employees who have been laid off to
receive income support while still working on properties, will be expanded to o
ther fields like harvest contractors.
The Workforce Participation Minister, Sharman Stone, says they will be allowed t
o work 30 hours a week up from 15 and receive a $1,600 training grant.
"If you're volunteering to work back on the farm while you're receiving your une
mployment benefits and it's a full time commitment you've made, 30 plus hours, y
ou won't have to keep your job seeking up, you don't have to keep presenting a d
iary saying you've looked for so many jobs, gone to interviews and so on, and th
at really means you can concentrate on that farm work," Ms Stone said.
Murray Irrigation slashes farm water supply
Irrigation water to hundreds of farms in southern New South Wales will be cut of
f next month as Murray Irrigation concentrates on maintaining supplies for stock
and domestic use.
The company says irrigation will be restricted to areas close to the main channe
ls, with consideration for contracted crops, feedlots and dairy farms.

Murray Irrigation chairman Stuart Ellis says the restrictions are necessary to p
revent the whole system running dry by Christmas.
Farmers march on Vic Parliament
Farmers have rallied in Melbourne today to raise awareness of rural issues in th
e final week of the Victorian state election.
Farmers on horseback and on tractors have been part of a procession through the
central business district to Parliament House.
Goulburn Valley farmer Col Grinter says he is marching over having to pay for ir
rigation water he will not receive this season.
"If the Government is fair dinkum about helping us, well the first thing they ca
n do is pay for any water that we're not going to get, you know for a farmer to
be lumbered with a $20,000 water bill for example and not get any production out
of it it makes it pretty darn hard," Mr Grinter said.
Put down malnourished stock: RSPCA
The RSPCA is calling on sheep and cattle producers to put down any livestock whi
ch are falling down due to lack of feed or water.
The call comes after a Western Australian livestock producer was fined $25,000 a
fter being charged with six counts of animal cruelty.
The RSPCA says it found some sheep dead in a paddock, while officers were forced
to put down another six.
RSPCA prosecutor Robin Moore says all producers have a responsibility to livesto
ck and the drought is not an excuse for mistreatment.
Frosts may halve crop production
Unseasonal frosts in Queensland's cropping region could halve production for som
e broadacre farmers.
Below average temperatures on Friday brought frosts and even snow to some parts
of the Granite Belt in the state's south.
Crop specialist Paul McIntosh says while they're still assessing the damage, it
already appears significant.
"There's sorghum, grain sorghum, corn, forage sorghum and even the feed values l
ike Dolichos lablab, and some of those softer crops they are absolutely black, a
nd the Eastern Downs is definitely the big area that's been hit," Mr McIntosh sa
id.
Grain audit under consideration
The Federal Agriculture Minister says he will consider an annual national audit
of grain stocks.
The Grains Council has called for the audit to address uncertainty about the lev
el of grain held in storage.
The Australian Bureau of Statistics is currently investigating this year's drama
tically drought-reduced stocks.
Peter McGauran says with ongoing uncertainty over how much grain will be availab
le for export or domestic livestock feed this year, the Government is continuing
to process 40 applications to import grain.
Chaff carts trialled in weed fight
Grain growers in Victoria are trying to find ways to tackle herbicide resistance
, especially as the big dry drags on.
Farmers are trialling chaff carts, large enclosed trailers that are towed behind
headers and collect screenings, and small seeds that would normally be left in
the paddock.
Bernard Noonan from the Wimmera Conservation Farmers Association says they have
been used successfully in South Australia.
Hunt under way for Australia's best young truckie
The trucking industry has launched a national campaign to find Australia's safes
t and most skilled young driver to try to change public perception about the sec

tor.
The winner will receive a $220,000 prime mover.
The competition has never before been held in Australia but has been a big hit i
n more than 30 countries.
Stuart St Clair from the Australian Trucking Association says the competition is
an attempt to tackle any negative images of truck driving.
"The whole purpose of this is to show to the general public and to the industry
itself about the professionalism of the industry and the fact that we're looking
to attract young people into this business as drivers and other support people,
" Mr St Clair said.
SA investigates wine partnership with Chile
The Chilean Government is looking at a partnership with the wine industry in Sou
th Australia's Barossa Valley.
Chile's Foreign Minister and Ambassador have made a flying visit to the region t
o talk about a joint effort to sell wine to Asia.
State MP Ivan Venning says although Chile is a major competitor, it is worth inv
estigating.
"I was initially quite cautious because why would you want to do a deal with an
international competitor, as Chile is with us, in the world of wine but I think
the Australian wine, particularly our Barossa wines and the Chilean wines do com
plement each other because they don't have the premium reds like we have," Mr Ve
nning said.
Farmers may look to cooperatives for protection
Agricultural cooperatives could be about to make a comeback, according to new re
search.
Author Gary Lewis has been looking at farm cooperatives in Australia and says by
allowing many to be corporatised, farmers have lost an important weapon.
He says farmers need to look after their own interests when it comes to drought,
water and politics, and forming new cooperatives is one way of doing that.
City folk urged to 'sponsor a cow' to support dairy farmers
Citysiders are being encouraged to "sponsor a cow" to help a group of Victorian
dairy farmers feed their livestock.
The Stanhope and District Development Committee has come up with the plan to hel
p the district survive the drought.
Chairman Bob Holschier says the campaign will benefit the farmers but also help
sponsors to learn about the farm sector.
'Functional foods' may help prevent disease
There is a growing trend in Europe to produce so-called 'functional foods'.
The foods are said to help prevent life threatening diseases or curb potential h
ealth problems like obesity, heart disease and high blood pressure.
Visiting food scientist Charles Daly, from University College Cork in Ireland, s
ays there is also a trend to match individual human genetics to different food g
roups to improve health.
"We have different genetic make-up and so that means that we can have different
susceptibility to some of the diseases that we mentioned, and that means that by
looking at the genetic make-up of sub populations we can target foods to those
groups," Mr Daly said.
Watchdog calls for accurate labelling of GM imports
Australia's consumer watchdog has called for any genetically modified (GM) impor
ts to be labelled accurately.
Choice, formerly known as the Australian Consumers Association, has raised the c
oncern amid speculation that a major grain handler is expecting a consignment of
GM canola from Canada within the next month.
Domestic canola supplies are tight this season due to the drought.
Choice spokeswoman Claire Hughes says consumers will not know they are eating GM

canola oil.
"If we do start to see a large amount of genetically modified canola coming into
Australia, if it's going to be processed and used as oil, consumers wouldn't ne
cessarily know if a product they're purchasing has been genetically modified or
does contain genetically modified canola oil," she said.
"Because our GM labelling laws don't require a product that has been highly refi
ned, those products don't have to be labelled and canola oil is a good example o
f that."
Federal Minister for Agriculture Peter McGauran says he is aware of the imports,
which are intended for use in oil for human consumption and meal for stockfeed.
He says the consignment has been independently sampled and tested before loading
to confirm that only GM lines approved by the Office of the Gene Technology Reg
ulator are allowed in.
Doctors call for rural health community service obligation
The Rural Doctors Association (RDA) claims the Federal Government is more concer
ned with ensuring people have a phone rather than a doctor or hospital.
It is calling for a community service obligation for rural health, much like the
one which forces Telstra to provide services.
New president Dr Peter Rischbieth from Murray Bridge in South Australia says mil
lions of taxpayers' dollars pour out of rural communities to subsidise metropoli
tan health services.
"They have the ethos that everyone should have a telephone and access to telepho
ne repairs," he said.
"[The] Rural Doctors Association believes they should have access to timely medi
cal services.
Sugar cane smut found on third cane farm
A third Mackay cane farm has been found to have sugar cane smut, confirming fear
s that the fungal disease is widespread.
The disease has been found on a property, 20 kilometres from the original find n
ear Mackay, which had been discovered on Melbourne Cup day.
Mackay Area Productivity Service spokesman Alan Royal says smut now looks to be
well-established in central Queensland.
"It's very, very sad but it's right across the other side of town and the whips
were reasonably advanced but they're certainly not big whips like we've been see
ing," he said.
"What did frighten me was on the weekend in one row at the initial farm, you kno
w we were seeing whips that were four, five feet long, so it's got a hold there
but let's hope we can get on top of it."
Meanwhile sugar cane farmers in Western Australia's Ord Valley are looking for n
ew varieties, because some which were once resistant to cane smut are not any mo
re.
The disease was first found in WA's north-west in 1998.
CJ Ord River Sugar spokesman Wayne Paul says 100 varieties have been tried in th
e past five years but only a handful have shown promise.
He says smut is also expected to reduce next year's crop.
"Q95 is probably the worst. It's getting a bit of smut now whereas it didn't hav
e earlier on, so that will probably be mostly ploughed out over the next couple
of years," he said.
Vegie growers told to change
Tasmania's vegetable growers have been told to change or be prepared to go out o
f business.
A strategic plan has been released for the sector, raising a number of areas to
be addressed, like improved marketing and better relationships with food process
ors.
Consultant Euan Laird, who helped produce the report, says the changes will see
some growers leave the industry.
"Only the strong will survive," he said.

"It's a really tough market out there and those that change and adapt, and modif
y, and meet the demands of consumers will survive so I'll put an estimate that o
nly 50 to 60 per cent of existing growers will survive in the long term and they
are going to be those that are adaptable."
Tasmania's growers agree with the plan but most feel the hard work is still ahea
d.
"We've got to start somewhere to get the vegetable industry off the ground or to
stop it going back into the ground I suppose," one grower said.
NSW Govt urged to allow graziers access to forests, national parks
The New South Wales Farmers Association wants graziers to be given access to sta
te forests and national parks to help feed hungry livestock.
The association says feed is become scarce as the drought intensifies.
President Jock Laurie is urging the NSW Government to consider the proposal, whi
ch he says would help farmers hold onto core breeding stock.
"As far as we're concerned it would be a good tool for the feeding of core breed
ing stock throughout this drought period, especially when feed reserves are so l
ow," he said.
"You don't need a long bureaucratic process to go through here, so get in and ma
ke a decision so that people can then plan well into the next few months about h
ow they're going to feed stock."
Starlings attack cherry orchards
Cherry orchards in central New South Wales are suffering major bird damage this
year.
Large numbers of starlings are attacking crops much earlier than normal, which g
rowers believe is due to the drought and a lack of food.
Cherry grower Guy Gaeta says he has never seen so much damage.
"They are getting to the cherries when they are still green," he said.
"Whether it is because they are hungry because of the drought.
"I have never seem them before and everybody in the district is having the same
problems. They are not eating the cherries, they are just chopping them off.
"They go to taste them and then they are sour. They pull it off the tree and the
n they go to another one hoping it is a bit sweeter.
Company offers incentives to encourage truckies to stay
A major trucking company is planning to pay incentives to its drivers to encoura
ge them to stay in the industry.
Road Trains of Australia says it is hard to find staff with many drivers being l
ured into the mining sector.
While a national campaign is under way to attract more young people towards a ca
reer in transport, Mike Bailey from Road Trains' Mount Isa branch, says the comp
any needs to make an effort to ease the skills shortage.
"We're trying to start a scheme where - just within ourselves - that they get re
warded if they stay in the industry, in our employment, for a number of years,"
he said.
"At the end of that time they'll get a bonus or whatever for hanging in there, i
t'll be like a miniature long service leave sort of thing."
Increased pay helps retain mango pickers
Improved wages have helped to secure pickers for the Northern Territory's mango
season.
The NT Mango Association has set a recommended minimum wage of $16.50 this year,
more than a dollar above the national award.
President Peter Marks says there are not many pickers around but the incentive h
as helped to keep workers on for the whole season.
"We had the unions involved, we had Aboriginal organisations involved and all th
e labour providers," he said.
"We asked their opinion how we should manage this situation because we could see
it was not going to be good.

Drought set to bring live export trade growth

The Australian live export trade is tipped to grow because of the drought.
Lower prices for sheep and cattle have prompted international markets to step up
demand for livestock which fell away after the Cormo Express incident in 2003 a
nd more expensive livestock costs.
Meat and Livestock Australia spokesman Mike Hayward says despite low prices the
trade does give producers another alternative during the dry times.
"It was really noticeable in the west when they really got hit with the drought
early in the year," he said.
"A lot of livestock would have probably died on properties if they hadn't had th
e live trade.
Wool bale fetches seasonal record price
A super ultra-fine bale of has fetched a seasonal record of 70,000 cents a kilog
ram in Victoria.
The 12.4 micron bale is the finest yet produced by Brockville growers Andrew and
Annie Gardner, who have a farm at Penshurst, in the western district.
The same buyer also paid 67,000 cents a kilogram for a 12.5 micron bale from Pyr
enees Park in central Victoria.
EC farmer assistance requires rethink, expert says
An environmental and climatic change risk analyst says the Federal Government ne
eds to rethink its exceptional circumstances (EC) assistance to farmers.
The University of Canberra's Dr Brian Button says he is opposed to EC funding be
cause floods and droughts are a natural occurrence and not exceptional.
He says the Government should look at other ways of helping.
"Now in Canada the Federal Government sponsors to the tune of about $2 billion C
anadian a year a crop insurance scheme," he said.
New tree plantings fail to secure farm biodiversity: research
New research says offsetting the clearing of native vegetation with new tree pla
ntings is not an effective way to maintain biodiversity on farms.
The Australian National University research suggests it takes up to 300 years fo
r newly-planted vegetation to provide the same food and shelter to animals and b
irds.
Ecology Professor David Lindenmayer says the findings show a need to preserve re
mnant vegetation.
"We've found this from our data on the south-west slopes of New South Wales and
it's for reptiles, it's for possums and gilders, arboreal marsupials and also fo
r birds," he said.
Scientists claim new water filter halves purification costs
Scientists in Italy say they have developed new ways of filtering water that sho
uld halve the cost of purification.
The water membrane technology is already being used in other countries to recycl
e waste, make bore water palatable and desalinate salty water.
Professor Enrico Drioli from the University of Calabria says the membranes, whic
h look like plastic wrap, mirror the natural filtering membranes in our bodies.
"Just a film that the one you can use for packaging your sandwich sometimes, so
this film is able to be selective," he said.
AWB's profit drops
Wheat exporter AWB has announced a 68 per cent cent fall in annual net profit to
$58.1million.
The company says it will pay a reduced final dividend of 4 cents, with the droug
ht cutting the harvest and less domestic grain trading.
The oil-for-food inquiry has cost the company almost $24 million, while redundan
cies and restructuring has taken $10 million off the bottom line.
Managing director Gordon Davis says AWB will remain viable if it loses control o

f the single desk for wheat exports in the wake of the Cole inquiry.
"AWB has been pursuing a strategy of diversifying its income away from pool mana
gement. We've got strong and growing business in our international trading in Ge
neva, Brazil and India," Mr Davis said.
Grain growers won't oppose removal of AWB's wheat veto
The Grains Council says it would not oppose any move by the Federal Government t
o remove AWB's veto on wheat export applications.
There is a push from within the Government to take away the veto to allow other
grain companies to export wheat.
But chairman of the peak body, Murray Jones, says growers must be consulted befo
re any major structural changes are made to the single desk.
"We don't know what the Government's reaction will be and I'm leaving it open to
them to make their reaction," Mr Jones said.
"We've consulted regularly and continuously during the course of the last few mo
nths and we'll continue to do so, and continue to put forward the growers' posit
ion, which is they wish to retain a single desk and they want to be consulted if
there are to be any changes."
The Grains Council says it wants growers to have control of the export system.
But the Australian Grain Exporters Association is pushing the Federal Government
to remove the single desk.
The association of bulk grain handlers wants an interim licensing system put in
place to smooth the way for deregulation.
Beazley tours NSW drought affected areas
Federal Labor leader Kim Beazley has begun a tour of central New South Wales to
hear first hand how the drought is hurting rural families.
Mr Beazley has used the trip to make his first announcement on drought policy,
He visited three properties near Forbes in the central west of New South Wales a
nd will be shown the Jemmalong Irrigation Scheme, which this year has a zero wat
er allocation.
Young farmers highlighted the difficulties they are encountering in remaining vi
able and told Mr Beazley about their failed crops, many of which were to be irri
gated.
The Labor leader told the producers if his party were elected, it would set up a
series of research institutes to help commercialise technology to better manage
the drought.
Live export trade inhumane, says RSPCA
The RSCPA says it has proof that a majority of Australians believe the live expo
rt trade is inhumane.
An national phone survey of 600 people by Roy Morgan Research has found almost 6
0 per cent believe the trade is cruel.
MLA holds Adelaide AGM
The livestock industry's peak national body, Meat and Livestock Australia (MLA),
is holding its annual general meeting in Adelaide today.
Around 250 producers and industry representatives have finished the producers fo
rum which covered the current and future direction of the red meat industry.
Many apologies were received from farmers, both local and interstate, who have b
een affected by bushfires and could not attend.
Four resolutions will be voted on at the AGM regarding the election of MLA direc
tors, followed by a question period where the recent NLIS poll scandal and the p
rocess of registering voters from levy paying producers is expected to be raised
.
At the same time, more than 150 cattle producers have rallied on the Western Dow
ns in Queensland, in a direct boycott of the MLA meeting.
The Australian Beef Association (ABA) says it is protesting against laws and reg
ulations that destroy the viability of producers.
The rally has seen producers travel from as far as Western Australia to attend t

he Queensland rally and chairwoman Linda Hewitt says she is going to call on the
Australian Government to undertake a full review of Meat and Livestock Australi
a.
The rally has already seen a group of graziers hear from experts on depression a
nd a psychiatrist who is highlighting the need for help at the farm gate.
Speaker Danny Beer from the US cattle producing organisation R-Calf has spoken a
bout its support for country of origin labelling in the United States.
Uncontracted winegrape growers may be in demand
Uncontracted winegrape growers might have more luck selling their fruit this yea
r.
A lack of water and frost damage in some parts of Australia means that remaining
grapes are likely to be in demand.
Mike Stone from Murray Valley Winegrowers in Victoria says preliminary figures s
how the coming harvest could be several hundred thousand tonnes down on last sea
son.
"Already we have heard of some offers for cabernet sauvignon and merlot of aroun
d $400 a tonne, so there is evidence of more interest," he said.
Biofuels industry facing grain cost challenge
A new report says the biggest challenge for the fledgling biofuels industry is t
o keep down the cost of grain for alternative energy production.
The independent report predicts Australia will almost double its production targ
et of 350 million litres of biofuel by 2010.
But report author Graeme Bethune says cost is the biggest problem and eventually
grain which is currently exported may be in demand by manufacturers.
Nuclear power report won't help uranium industry in short term
Australia's uranium sector says yesterday's positive review into nuclear power w
ill make little difference to the industry in the short term.
Although share prices in uranium explorers rose on the back of the Switkowski re
port, the Association of Mining and Exploration says Australia's uranium reserve
s are still under-utilised.
Spokesman Ian Loftus says the public tends to confuse nuclear energy with uraniu
m mining.
"We have some of the world's great resources in terms of uranium in the ground a
nd we have the ability here and now, subject to government approvals of course,
to dig up that uranium and use it to provide fuel for clean electricity for othe
r parts of the world," Mr Loftus said.
McGauran supports environmental stewardship concept
Federal Agriculture Minister Peter McGauran has told a national conference on la
nd management that the Government supports the idea of paying farmers for enviro
nmental work.
Mr McGauran has backed the environmental stewardship concept at the first nation
al gathering of Australia's 56 natural resource management groups on the Gold Co
ast.
Andrew Drysdale from the Queensland Regional Groups Collective says the payment
scheme is welcome but might not come into effect until 2008.
"The noise that [is] coming out of Canberra, it's not only about funding but how
the funding is going to occur," he said.
"They're starting to talk about stewardship payments now which breaches that pro
blem of being tied to election cycles.
Rising humidity, heat aids croc growth
The rapidly rising humidity and heat in the Northern Territory is proving good n
ews for crocodile farms.
Many are busy grading baby saltwater crocodiles, according to size.
At Noonamah on the outskirts of Darwin, Mick Burns is sorting 12,000 baby reptil
es, which are more than one-metre long.

"The animals get very dominant and territorial and they'll blue with any smaller
animal," he said.
"No losses of fingers but certainly there would be a few little nips.
"This year has been pretty slow because we have had such a cold dry season, it's
the third or fourth largest number of days that have been below a certain tempe
rature so that certainly slows down the animals.
Student conference aims to share environment knowledge
With debate about the future of drought-stressed rivers in the headlines, Canber
ra students have launched plans for an International Conference on River Health.
The conference, set for October next year, will bring more than 600 students fro
m across Australia and around the world to Canberra to share knowledge about the
ir environment.
Founder and convener Arron Wood says it is important to let our future leaders e
xplore river issues now, so they have a head start.
"To have kids from small towns like Mildura and Renmark, and those sorts of thin
gs, talking to someone in the Amazon about the issues that they're facing," he s
aid.
Cities urged to consider buying water from irrigators
A report commissioned by the Federal Government says cities will need to conside
r buying water from irrigators to address major urban shortages.
Report author John Marsden says buying water from irrigators is a possibility fo
r Melbourne, Adelaide, Perth and Canberra.
He says communities must consider the option.
"In general there's been a reluctance by governments to put this issue firmly on
the table because of fear of upsetting rural electorates," he said.
"But of course, the rural waterholders trade water all the time, between themsel
ves and there's no reason why the trade can't be with other parties, including w
ith the cities."
Meanwhile the National Water Commission has confirmed it is conducting a feasibi
lity study into piping water from so-called "water rich" areas of northern New S
outh Wales, to drought-affected south-east Queensland.
The study, which will go to the Federal Government, is looking at rivers includi
ng the Wilson, Brunswick, Richmond, Tweed and Clarence.
Although the region has high rainfall, Wayne Franklin from Rous Water says there
is not enough water to pipe across the border.
"When you look at the Clarence and the Clarence is the one below us so we're cen
tred on the Richmond Valley," he said.
"If you look at either of our valleys and the amount of water we have we're real
ly small fry compared to Queensland.
ABARE chief to take on climate change role
The nation's new chief commodity forecaster says predicting the effect of climat
e change on agriculture will have to become part of his work.
Phillip Glyde has been appointed executive director of the Australian Bureau of
Agriculture and Resource Economics (ABARE) after working in the Departments of P
rime Minister, Industry and Agriculture.
He says the agency needs to be responsive to industry and farmer needs but says
providing economic analysis on climate change will be difficult.
"I think it is something that we will be doing more on, I hesitate to say when,"
he said.
"Really the issue there is the quality of the science and really the economic an
alysis flows from the science.
"One of the problems we've got at the moment is that impacts of climate change a
t a regional level or on a particular industry aren't really that well known."
Meanwhile grain farmers are being urged to factor in climate change when plannin
g for the future.
Dr Peter Hayman from the South Australian Research and Development Institute has
won a 'Seed of Light' award from the Grains Research and Development Corporatio

n for his efforts to make farmers aware of climate change.

He says many grain growers are now wondering how to adapt.
"Certainly, no longer are people saying - what is climate change, is this someth
ing my grandchildren have to worry about?" he said.
"They're concerned about it and wanting to know more information about it now an
d what it means for their decision-making and planning.
Water use for timber plantations to be managed
Tasmania is moving to manage water use by the timber plantation sector as part o
f a review of its Water Management Act.
The review is recommending a study of water rights security and tenure, changes
to the dams approval process and a risk management strategy for water use by lar
ge scale land use changes.
Alan Harradine from the Department of Primary Industries and Water says catchmen
t models need to be refined.
"Under the National Water Initiative we basically are required to put in place t
hose options," he said.
Cattle producers urged to audit livestock records
The Australian Beef Association (ABA) wants cattle producers to audit their live
stock records listed on the database of the National Livestock Identification Sy
stem (NLIS).
The system, which is designed to track every animal through electronic ear tags
in case of a disease outbreak, has been heavily criticised by the breakaway grou
p.
New president Brad Bellinger from New South Wales says the ABA's own research sh
ows only 30 per cent of NLIS producer records are accurate.
"Now their own audit is the matter of matching what their actual property sales
are to what is actually registered on the NLIS database account," Mr Bellinger s
aid.
"We want to point out to the regulators and the Minister how bad the situation,
how inaccurate the NLIS system is."
The Federal Government has commissioned an official audit of the database.
Meanwhile the peak national body, Meat and Livestock Australia (MLA), is calling
for unity within the cattle industry.
The ABA boycotted MLA's annual general meeting in Adelaide yesterday and staged
a rally in Queensland.
MLA chairman Don Heatley says cattle producers need to resolve NLIS issues by wo
rking together.
"Yes, there is criticism, and I don't resile from the criticism," he said.
"At the end of the day we've developed a new system and NLIS is new and it's not
perfect at this stage but we will continue to work on it.
Pig tracing may go high-tech
The pig industry is considering launching an electronic system to trace animals.
The industry has already set up a traceability system called Pig Pass, where pro
ducers who export pigs fill out national vendor declaration forms.
But Bill Salter from producer group Australian Pork Limited (APL) says they are
now looking at a paperless system with swipe cards instead of individual animal
tags.
"The system would work on the basis of having everyone involved in Pig Pass actu
ally being registered on the APL database," Mr Salter said.
Biodiesel plant opens
A $48 million biodiesel plant has been officially opened in Darwin today.
It is initially expected to annually produce 150 million litres of biodiesel usi
ng imported palm oil.
Natural Fuels managing director Dick Selwood says work is under way to develop a
Territory soya bean industry to supplement the feedstock.

Native flower exports wilt

Australia's native flower sector expects to lose about 30 per cent of its export
flower crop this year.
Drought, frosts and hot weather have decimated crops, with some growers reportin
g bud losses of 50 per cent and hundreds of thousands of flowers which are unsal
eable.
Tony Kosky from the Australian Flower Export Council says lower production level
s will affect Australia's international reputation as a reliable flower supplier
.
Beazley commits to examining replanting scheme
The federal Opposition Leader has committed his party to examining a replanting
scheme for farmers in drought affected areas.
Kim Beazley has been in central western New South Wales to look at the impact of
the drought.
He says it is obvious people are hurting and assisting farmers to plant crops wh
en conditions improve is one way of helping.
"In the short term I'll need to take back and talk through with my colleagues th
e things that need to happen with regard to the various drought programs, state
and federal," he said.
Cane toads help reduce mosquito numbers
If you dread summer because of the mosquitoes, you might need to start hanging a
round cane toads.
As part of a study into the effect toads are having on native fauna, a team of s
cientists has found cane toad tadpoles are reducing mosquito numbers.
Professor of ecological biology at the University of Sydney Rick Shine says the
toads could be contributing to better human health.
"We've simply set out bowls of water with and without cane toad tadpoles, we've
put mosquito larvae in there and we've seen whether or not the mosquito larvae d
o survive and what size mozzie actually flies out at the end," Prof Shine said.
Prospect for rain improves
The National Climate Centre says a duel between sea temperatures in the Pacific
and Indian oceans could bring slightly higher rainfall to much of Australia.
Indian Ocean temperatures are rising off Western Australia and up to Indonesia,
cancelling out a worsening El Nino effect in the Pacific Ocean.
There is now a 50 per cent chance of average rainfall across most of Australia i
n the next three months, although north Queensland could be drier.
Senior climatologist Lyn Bettio says the prospect of rain certainly has not got
any worse.
"It's actually looking better than what it was last month," she said.
Merino prices plummet
Prices for top merino sheep have plummeted at the annual Yass circuit sale, in N
ew South Wales, once a stronghold for fine and superfine wool.
With a larger offering than last year, merino sheep and cross bred lambs are bei
ng offloaded as the drought bites deeper, with ewes being passed in for $1.50 ea
ch.
The average price for Roseville ewes of the Merryville line was $10, down from a
height of $70 in previous years.
Richard Buckmaster says the low prices will hurt farmers.
"It's very disappointing. I know we've got bad seasons and everything but I thin
k this is the worst we've had in 17 years of circuit sales," Mr Buckmaster said.
In general, the wool market has eased this week, falling 2 per cent at sales in
Sydney, Fremantle and Melbourne.
The eastern market indicator (EMI) fell 18 cents, to finish the week at 826 cent
s a kilogram.
Stronger quarantine conditions for imported prawns recommended

Biosecurity Australia has recommended tougher quarantine restrictions on prawn i

mports, which could effectively end the trade.
The domestic industry has called for an end to imports due to disease concerns,
although importers oppose any tougher restrictions.
Federal Fisheries Minister Eric Abetz says if the draft recommendations are adop
ted, most of the countries which currently send prawns to Australia will not be
able to prove they are free of disease.
ACCC clamps down on misleading labels
The Australian Competition and Consumer Commission (ACCC) is clamping down on mi
sleading claims being made about food and drink.
It has published new guidelines on what can be labelled organic, free range, nat
ural and fresh.
Commissioner John Martin says producers and processors of everything from eggs t
o fruit juice are increasingly flouting the law but will not be able to get away
with it for long.
Legislation blocks grasslands clearing
After three years of wrangling, Tasmania has passed legislation to protect remna
nt grasslands from land clearing.
The controversial legislation was only passed yesterday in Tasmania's Upper Hous
e after a number of modifications were made to the Bill.
Tasmania was obliged under a federal agreement signed in 2003 to protect non-for
est native vegetation.
President of the Tasmanian Farmers and Graziers Association, Roger Swain, says t
he legislation is restrictive but at least provides certainty.
Govt contributes to WA carbon trial
The Federal Government will contribute $60 million towards the world's biggest c
arbon capture and storage trial in Western Australia.
The money will go to the Gorgon natural gas project off the Pilbara coast, which
is still waiting for the final go ahead.
If it proceeds, 125 million tonnes of excess carbon dioxide will be liquefied an
d buried 2.5 kilometres under the sea bed in saline aquifers .
Environment Minister Ian Campbell says it is imperative the project gets off the
ground.
"The Gorgon project, being the biggest one of its type anywhere in the world, in
fact bigger than all of the other projects in the rest of the world put togethe
r, will help us demonstrate that it can be done safely, that you can put in plac
e a regulatory environment around it, put the risk management techniques around
it," Senator Campbell said.
Irrigators discuss compensation with Premier
New South Wales farmers have met with Premier Morris Iemma to ask for compensati
on for their cut water allocations.
The Government has slashed carry over water allocations for Murray River irrigat
ors by half.
What water is available will only be given to customers near the major supply ch
annels to reduce evaporation.
Chairman of Southern Riverina Irrigators Ted Hatty says the Government has not o
ffered any immediate help.
"The Premier has said that he will look at what he can do, he said we're talking
weeks not months, so I suppose that was a positive," he said.
Dairy Aust won't ask farmers to increase service levy
Dairy Australia says it will not ask farmers to support an increased service lev
y next year.
A poll on the levy will be held in February and March, with farmers to be offere
d three options.

Better livestock management may prevent rattles disease spread

The thoroughbred horse industry says new research could protect hundreds of foal
s from the disease known as rattles.
The debilitating bacterial infection is believed to be brought on by dry and dus
ty weather, and costs the industry millions of dollars a year.
Researcher David Hodgson says better livestock management could prevent the dise
ase spreading.
New president elected to Sheepmeat Council
Australia's peak sheepmeat body has appointed a new president.
New South Wales prime lamb producer Chris Groves will head up the Sheepmeat Coun
cil of Australia, replacing outgoing president Ian Feldtmann.
Top drops go down well with National Wine Show judges
The 2004 and 2005 vintages have proved popular with the judges at this week's Na
tional Wine Show in Canberra.
Only premium wines that have won other awards can enter, with the main awards go
ing to wines from Margaret River, the Hunter Valley and the Yarra Valley.
Chairman of judges James Halliday says top drops are cheap because of the wine g
lut.
"2004, 2005, 2006 which are the three vintages which have brought the oversupply
issue right onto the front page, happened to have been three very good vintages
," he said.
"So if you're going to have too much wine it's rather a good thing to have too m
uch good wine, or very good wine, rather than too much bad wine."
Meanwhile drought, frost damage and lower water allocations are drawing down Aus
tralia's wine stock glut faster than anticipated.
The wine industry has revised down its estimates for next season from 900-millio
n litres to 460-million litres.
Predictions for another extreme drought season next year are expected to bring y
ields down by 20 per cent.
Lawrie Stanford from the Australian Wine and Brandy Corporation says the excess
stocks are certainly dropping and that is good news.
"The latest estimate that the industry has is that stocks above a desirable leve
l would rate at something like 460 million litres," he said.
Far north Qld fruit wines in demand
The makers of tropical fruit wines in far north Queensland say they are struggli
ng to keep up with demand.
The wines are made from fruit including passionfruit, native tropical berries, b
ananas, lychees, rambutans and black sapotes.
Tony Woodall from the Tropical North Queensland Wineries Association says the re
gion has become the world's leading commercial fruit wine producer.
"Some of the fruits are quite bland like grapes and don't make a particularly ni
ce wine," he said.
"Not saying grapes don't, they do of course.
Cole inquiry report finalised
After nearly a year of public hearings, 7,500 pages of court transcript and more
than 70 witnesses, the final report of the Cole inquiry is finished.
Commissioner Terence Cole is today handing the document to Australia's GovernorGeneral Michael Jeffery in a brief ceremony at Admiralty House, the official Syd
ney residence of the Governor-General,
It will advise the Federal Government on the actions it should take against mono
poly wheat exporter AWB and two other Australian companies for kickback payments
they made to the Iraqi regime in breach of UN sanctions.
AWB was by far the largest contributor, paying more than $290 million.
Huge secrecy surrounds the contents of the report, which will be tabled in Feder
al Parliament next week.
It is widely predicted Commissioner Cole will recommend the laying of criminal c

harges against some AWB executives.

The report's contents will also have a bearing on the future of the single desk.
Meanwhile the author of an AWB commissioned report into wheat exports says chang
e to the single desk is inevitable.
But the report says any changes should take place gradually, to minimise the imp
act on wheat growers.
Former world trade commissioner and report author, Alan Oxley, has warned that a
ny immediate changes could hurt 12,000 grain growers from marginal areas.
"These tend to be farmers who are not in upper income groups who are solely depe
ndent on grain in areas where there is variability," Mr Oxley said.
"So as far as we are concerned they are concentrated in the eastern wheatbelt of
Western Australia, and on the Eyre Peninsula (in SA), and in western NSW. They
are the ones who tend to rely on the collective marketing of their crops."
But independent grains analyst Malcolm Bartholomaeus disagrees.
He says most farmers would take advantage of an open market.
"I'm not sure that we hold back the entire industry for a smaller group who may
have a little more trouble adjusting. Farmers aren't silly, you change the rules
and they rapidly adapt," Mr Bartholomaeus said.
Dry conditions to blame for slump in farmers' confidence
The confidence of Australian farmers has slumped to its lowest level in six year
s.
The state of mind in rural Australia been revealed in the latest Rabobank Rural
Confidence Survey.
Just 15 per cent of farmers expect the rural economy to pick up over the coming
12 months compared with 19 per cent last quarter.
The states hardest hit are Victoria, New South Wales and South Australia.
Rabobank's head of rural banking, Neil Dobbin, says ongoing dry conditions are l
argely to blame.
"This is the lowest confidence farmers have had since the survey started, which
is six years ago. Sixty-five per cent of the farmers thought that income would w
orsen over the next 12 months," Mr Dobbin said.
Tasmania struggling with drought
Conditions continue to deteriorate in Tasmania after record low rainfall and riv
er flows.
The president of the Tasmanian Farmers and Graziers Association, Roger Swain, sa
ys the State is experiencing one of its worst seasons in 100 years.
He says while pockets of the State are having a reasonable year, the extended dr
y and heavy frosts are making the season tough.
"It's quite clearly a drought, you only have to look around and see," he said.
"We're looking at the ground now almost as if it is February here in Tasmania.
The National party's resurgence in country Victoria is continuing, with more vot
es counted in the state election.
Labor has conceded defeat in the Gippsland seat of Morwell with the seat going t
o Russell Northe from the Nationals, with the help of Liberal preferences.
The Nationals also took the seat of Mildura from independent MP, Russell Savage,
in a swing influenced by Labor's proposal for a toxic waste dump in the elector
ate.
The Nationals have increased their Lower House numbers by two to nine members in
a poll where they feared they would be nearly wiped out by preference deals.
German company buys wool directly through producers
One of the world's major wool spinners has started buying greasy wool directly f
rom merino producers because of high levels of dark fibre contamination in wool
being sold through Australian auction rooms.
German company Sudwolle processes 200,000 bales a year at mills in China, German
y and Poland - the equivalent of 10 per cent of the Australian wool clip.
It has been trialing buying wool through an Adelaide firm, which sources bales f
rom a small group of fine wool growers.

Director of purchasing Gotz Giebel blames the high contamination rate on a trend
by growers towards sheep which produce both meat and wool, which have more blac
k fibres in their fleece.
"We have initiated that because we noticed a lot of quality problems and due to
our size and our market situation we thought we have to do something in the indu
stry," he said.
"Also to encourage growers and that's very important.
"We also want to reward the grower for better qualities."
But wool brokers and buyers in South Australia believe local producers have grow
n one of the best clips of the past five seasons.
Landmark's state wool manager Trevor James says the quality has held up despite
the lack of rain.
"Probably that early rain in March put a bit of feed on the ground and that earl
y rain made a big difference, so we've got a lot of really good length, good sou
nd wools, probably been the best we've seen for five years and we've had some re
ally fantastic wools coming through," he said.
Lamb feedlot shed open for business
One of eastern Australia's biggest lamb feedlot sheds has opened.
Based in Goondiwindi, in southern Queensland, it will house more than 3,500 shee
p undercover.
Owner Kerry Corish says they originally expected to sell around 15,000 fat lambs
a year but that number has significantly increased due to the drought
"I think at the moment the way it looks and the drought conditions, and because
we've bought far more sheep than what we anticipated we would be able to buy, an
d that's simply driven by the drought and because (of) the large numbers availab
le down south and the price drop in sheep, that we probably will go 20,000 plus,
I would imagine," Mrs Corish said.
Cattle prices down
Despite cattle supply numbers being lower in all states, weaker demand at southe
rn markets in the last week had a downward effect on national indicator prices.
Dairy Australia elects new president
A dairy farmer from Bega in southern New South Wales has been appointed chairman
of the peak industry body, Dairy Australia.
Max Roberts will replace Pat Rowley to lead the farmer-funded research and devel
opment organisation.
Mr Roberts says $57 million in levy money was spent last year to help farmers su
rvive the drought and fight for their rights.
"Our leadership role is [to ensure] the farmers have good information and water
again is another good example as the dairy industry is probably the biggest sing
le user in agriculture of water," he said.
"We've got to be able to defend our position and make sure our arguments are goo
d and sound because there's a lot of competition for that water."
Farmers will be asked to vote on three levy options early next year.
Because of the drought, Dairy Australia is asking them to maintain the current l
evy rate rather than increase it.
Mr Rowley represented dairy farmers at a state, national and international level
for more than 30 years.
He also helped create the peak body five years ago and says he is sorry to be le
aving at such a testing time.
"I'm sure the industry will no doubt get through this drought and it always rain
s at the end of a drought, but there will be some people who will struggle very
hard and that is sad to me as I go, but it wouldn't matter when I decided to go,
there would be some challenge somewhere," Mr Rowley said.
Court closes chapter on native title claims
Members of the Federal Court have donned heavy black robes in 40 degree heat to
close a chapter on a series of long-running native title claims in north Western

Australia.
At a small community outside of Kununurra, the court granted native title to alm
ost 7,000 square kilometres of the East Kimberley, bringing the total land under
native title in the region to 35 per cent.
Edna O'Malley from the Miriuwung Gajerrong Corporation says the ruling not only
allows access to country but will bring economic benefits in the future.
"Like the judge said today, it was only a pen to the paper to end 12 years of ha
rd struggle," she said.
Polystyrene fish sculpture aims to raise environmental awareness
The largest murray cod ever photographed is slowly being carved out of polystyre
ne by communities along the River Murray.
South Australian sculptor and geologist Indiana James has been encouraging peopl
e to help him replicate the huge cod, which was nearly two and a half metres lon
g and weighed a whopping 180 kilograms.
He is hoping to raise environmental awareness through his journey which began in
2002.
"Everybody loves a big fish and a big fish story," he said.
"I knew a lot of people would come and talk about the fish, and my real agenda i
s the health of the river and keeping an awareness of the health of the river in
the public eye.
Bill aims to strip AWB of veto powers
Two Liberal senators from Western Australia are planning to introduce a private
member's Bill to the Senate today calling for the removal of AWB's veto over whe
at exports.
Senators David Johnston and Judith Adams say change is needed whatever the outco
me of the Cole inquiry report into AWB, set to be tabled in Federal Parliament t
his afternoon.
Senator Johnston says even if the Bill fails, the Federal Government should act
to remove the wheat export veto immediately.
"With about 70 per cent of wheat growers in Western Australia engaged in harvest
, withholding their wheat from the statutory marketing single desk operator, I t
hink it's a crisis and I think it's a crisis that needs to be addressed now," Se
nator Johnston said.
The National party's resurgence in country Victoria is continuing, with more vot
es counted in the state election.
Labor has conceded defeat in the Gippsland seat of Morwell with the seat going t
o Russell Northe from the Nationals, with the help of Liberal preferences.
The Nationals also took the seat of Mildura from independent MP, Russell Savage,
in a swing influenced by Labor's proposal for a toxic waste dump in the elector
ate.
The Nationals have increased their Lower House numbers by two to nine members in
a poll where they feared they would be nearly wiped out by preference deals.
Govt assesses wheat export system future
The Federal Government has started considering the future of the wheat export sy
stem following the Cole inquiry report.
Federal Government ministers are satisfied they have survived the Cole inquiry u
nscathed.
But now they are facing the difficult task of deciding whether the wheat export
system rorted by AWB needs to be changed.
Liberals including Wilson Tuckey and Bill Heffernan want change.
Agriculture Minister Peter McGauran says his party wants to keep the single desk
in some form, although he realises that is not the view of the whole Cabinet.
However he says AWB may yet be part of the solution.
US Wheat Associates, the export marketing arm which represents American wheat gr
owers, wants the single desk removed.
The association's president, Alan Tracey, says Australian farmers have been dupe
d by AWB and the single desk is distorting world trade.

He says the association will support moves by the powerful US Senate Agriculture
Committee to conduct its own inquiry into AWB.
"AWB has a subsidiary in the United States, the funds that came from the oil-for
-food program moved through US banks," he said.
"There are a lot of connections here and possible violations of US law.
South Korea rejects US beef shipment
South Korea has rejected a US beef shipment over a tiny bone fragment, dealing a
major blow to US efforts to recapture the market.
US beef was first banned in Korea after mad cow disease was detected in Washingt
on state in 2003.
US Agriculture Department Deputy Under-Secretary Chuck Lambert is upset, not jus
t that Korea will not accept any bone in US beef, which could transmit mad cow d
isease, but by the way it handled the initial post-mad cow US shipment.
"It's disappointing that they've gone to the lengths that they have to identify
this small, very small piece of bone in more than nine tonnes of product," he sa
id.
The US has asked an international standard setting body to assign the US a mad c
ow-risk classification but insists US beef meets existing safety guidelines.
Quarantine protocols imposed on NZ avocados
Biosecurity Australia has imposed new quarantine protocols on avocados imported
from New Zealand.
The disease avocado scab has been found in New Zealand and is not known to be in
Australia.
The new rules will require fruit to be sprayed before harvest and dipped in copp
er after harvest.
Hugh Moore from NZ Avocado Growers says 90 per cent of the crop comes to Austral
ia in a market worth $30 million and he is rejecting any suggestion that fruit i
mports should be banned.
"The spraying mechanisms do work and that's in their own science," he said.
Grain handler posts record profit
South Australian-based grain handler ABB Grain Limited has post a record $66.7 m
illion profit for 2005-2006.
The results are up 60 per cent, largely due to expanded marketing, storage and h
andling operations.
But there are concerns about the ongoing drought.
Managing director Michael Iwaniw says to cut costs, the company is reducing staf
f and operations, and suspending executive salary increases.
"We've closed 40 receival sites, we have reduced our casual labour significantly
and we are looking at transferring our permanent labour force across the states
so we'll utilise labour more efficiently, looking at reducing operating hours,"
he said.
"You'd expect a fall in profits and we've alluded to that.
VFF demands end to Goulburn-Murray water trading
The Victorian Farmers Federation (VFF) wants the State Government to stop water
being permanently traded between the Goulburn and Murray River systems.
Currently irrigators on the Goulburn system only have access to a quarter of the
ir annual water allocation, while Victorian irrigators on the Murray can use 95
per cent.
When a water allocation is traded from the Goulburn to the Murray, it is automat
ically increased from 23 to 95 per cent.
VFF water resources committee spokesman Richard Anderson says as a result, Murra
y irrigators are now worried their allocations are at risk.
"Once it's transferred down on to the Murray system, the person buying that mega
litre of water actually gets to use 95 per cent, being the current allocation on
the Murray system," he said.

Hay exporters meeting export demand

Northern Territory hay producers are taking advantage of the drought across the
rest of the country to meet export demand.
Five containers of hay are on their way to Korea and Japan.
The Territory's Agricultural Association spokesman, Mal Bishop, says transport c
osts have stopped them developing an interstate market but there is strong inter
est in their tropical varieties.
"This year is a really good year to be pushing it because of the dry season down
south and in the eastern states," he said.
Local govt rates will curb development: pastoralists
Northern Territory pastoralists say they are worried about the prospect of havin
g to pay local government rates from 2008.
All councils will extend their jurisdiction to include cattle properties, Aborig
inal and mining land in less than 18 months.
In the Barkly Tableland, Paul Zlotkowsky of Amungee Mungee Station says the intr
oduction of rates will curb development.
"There's talk that the whole of the area is going to be rated [on] Amungee Munge
e, we use 600 square kilometres, the rest of the total area of 3,000," he said.
"The rest of the area that is not yet developed is going to be rated.
Ancient drought blamed for megafauna destruction
A group of researchers say a series of massive droughts 40,000 years ago wiped o
ut Australia's megafauna.
It had been previously thought that over-hunting was to blame.
Palaeontologist Dr Gilbert Price has dug up the fossils of giant kangaroos, emus
and wombats the size of cars in south-east Queensland.
He says the remains show the populations had been under stress because of dry co
nditions, which could provide clues to helping smaller wildlife species today.
"There's so many interesting ecological events that have occurred in the past an
d these events are recorded in places like the Darling Downs in the fossil recor
d," he said.
Task force to examine AWB charges
A day after Commissioner Terence Cole has handed down his final report into the
activities of AWB in Iraq, 12 people are consulting lawyers about their future.
A special task force will investigate whether they should face criminal prosecut
ion.
Former chairman Trevor Flugge is among a group of people who Commissioner Cole h
as found should be further investigated for possible breaches of the Crimes and
Corporations Act.
He is joined by former managing director Murray Rogers and former chief financia
l officer Paul Ingleby.
Also named are whistleblowers Mark Emons and Dominic Hogan, executives Peter Gea
ry, Michael Long, Nigel Officer and Michael Watson, and former in-house lawyer J
im Cooper.
Charles Stott has been singled out for his involvement in the smelly Tigris affa
ir, involving BHP and a 20,000 tonne wheat shipment.
Commissioner Cole has also recommended the Wheat Export Authority be given more
powers and more money to regulate AWB but he has left AWB's veto right and the f
uture of the single desk to be sorted by the Federal Government.
Former AWB managing director Andrew Lindberg says he is relieved that the Cole i
nquiry has cleared him of any wrongdoing.
But he says it is a matter of great regret that kickbacks were paid to Iraq and
he hopes it does not lead to the dismantling of the single desk for exporting Au
stralian wheat.
"Personally, I think that would be a great shame because I do believe it does pr
ovide a great benefit to Australia against heavily subsidised competition, parti
cularly from the US and Europe," he said.
"I think it's very important that we don't throw the baby out with the bath wate

r."
Grains Council
The Grains Council has warned the Federal Government not to use the Cole finding
s as an excuse to abolish the single desk for wheat exports.
The peak grains grower body says while it is shocked by the report, the conduct
of AWB can not be confused with the grain marketing system.
Chairman Murray Jones says farmers believe the single desk is the best marketing
system available to them.
"We've come out with six basic principles that are there and the key of that is
ownership and control by growers, and I guess security of payment for pool parti
cipants," he said.
"There are six things and they're on our website. They are quite clear and the g
overnment's very well aware of that.
UN head alarmed over Tonga violence
The United Nations secretary-general Kofi Annan has expressed alarm about the re
cent violence in Tonga.
A spokesman for Mr Annan says he urges the parties in Tonga to persevere with in
clusive national consultations to support the democratic reform process.
Mr Annan has said he stands ready to help efforts to foster a broad political co
nsensus.
Govt accused of mishandling response to Cole report
Two former diplomats say the Federal Government has mishandled its response to t
he kickback scandal, giving an advantage to Australia's international wheat trad
e competitors.
Andrew Farran, now a trade policy consultant living in Victoria, says the damage
to the monopoly wheat trader caused by the Cole inquiry has already caused farm
ers to lose wheat contracts.
Former Middle East diplomat Bruce Haigh, now farming in New South Wales, says wh
eat growers will be angry if they lose the single desk as a result of the inquir
y.
"I mean the drought is already a huge burden that they're having to cope with an
d if the single desk gets lost, it'll be an even bigger blow," he said.
"I can say from my conversations with wheat growers, that they're very apprehens
ive and the potential there is for a lot of anger."
Prime Minister John Howard says the Federal Government is still considering a ra
nge of options for the future of the wheat export marketing system but because o
f the Cole inquiry findings the status quo cannot remain.
Mr Howard acknowledges there are divisions within Government, with the Nationals
pushing to keep the single desk and some Liberals demanding the removal of AWB'
s monopoly.
He says he will put forward recommendations to MPs next week but the solution de
cided on will be the best one for farmers.
"Any changed arrangements have to be ones that work and have wide acceptability
among Australian wheat growers," he said.
"Our main concern is to protect the interests of Australian wheat growers and I
am determined that whatever arrangement comes out of the discussion will protect
the interests of Australian wheat growers."
Meanwhile United States Agriculture Secretary Mike Johanns has directed his depa
rtment to again consider banning AWB's United States subsidiary from his country
's export programs in the wake of the Cole report.
Mr Johanns acknowledges that the AWB had voluntarily agreed last year to not par
ticipate in the US Department of Agriculture's (USDA) export credit program but
adds that was pending the outcome of the Cole inquiry.
Top USDA lawyer Marc Kesselman says Mr Johanns has ordered him to resume debarme
nt proceedings against AWB.
"The Government can choose who it does business with and the Government usually
chooses to do business with people whom it thinks are trustworthy, who are not g

oing to commit fraud with federal dollars," he said.

Agriculture sector remains largest water user
The Australian Bureau of Statistics says agriculture is still the biggest sector
user of water in Australia but consumption has fallen by 23 per cent since 2001
.
The new water report says farmers and the domestic sector have both responded to
the drought, with householders reducing their water consumption by 8 per cent.
Michael Vardon from the bureau says farmers have been particularly responsive to
reduced water supplies by planting less demanding crops.
"Certainly cotton and rice were large users in 2002 to 2001 and they continue to
be in 2004-2005 but the water use has declined, water use has declined substant
ially in those industries," he said.
Goulburn wins water-saving award
The residents of one of Australia's driest cities have been recognised for their
efforts to conserve water.
Goulburn in southern New South Wales has halved its domestic water usage under s
tage five water restrictions over the past 18 months.
Now the council has won a National Water Conservation Award for Excellence, ahea
d of 700 councils from around the country.
Goulburn-Mulwaree Mayor Paul Stephenson says the council is now applying for sta
te funding to install a cover for the Pejar dam to reduce evaporation.
"It still allows the ultra-violet rays to get through to do the normal purificat
ion of your water, it reflects a lot of the heat," he said.
"Your blue-green algae problems start to dissipate and you stop all the wind act
ion because these things are moored up reasonably close together.
Water authorities offer jobs to farmers
Victorian water authorities are offering jobs to farmers under a special drought
employment program.
The Goulburn Broken Catchment Authority has work for 60 people who are either un
der-employed or unemployed due to drought or recent devastating frosts in the Go
ulburn Valley.
Coomboona beef farmer Ewen Mclean is hoping to get paid for the fencing and weed
control work he is planning to do on his grazing licence along the Goulburn Riv
er.
QCC takes action against coal mine expansion
An environmental group has taken legal action against a coal mine in Queensland,
wanting to make it responsible for any pollution its product causes.
The Queensland Conservation Council (QCC) has lodged an official objection to an
extension of the Xstrata-owned Newlands coal mine, about 130 kilometres west of
Mackay.
Spokesman Nigel Parratt says the company should invest in clean technology or pl
ant trees to offset emissions the extracted coal will produce.
"If it sets a precedent, we'd certainly like to see other high greenhouse gas either emitters or users - follow suit," he said.
NLIS working at major saleyards
New figures show the National Livestock Identification System (NLIS) is working
99 per cent of the time at two of Queensland's major saleyards at Roma and Dalby
.
The Australian Livestock and Property Agents Association says out of more than 6
50,000 head of cattle, less than 1 per cent either did not have electronic ear t
ags or had tags that were not read by scanners.
Spokesman Roger Lyne is pleased with the figures but says he expects them to imp
rove.
"As time goes on people are learning how to put them in better, the application
rates are much better and I think also the suppliers or manufacturers of the tag

s are also getting better at it," he said.

Company secures $5m flour export contract
A company formed by six farming families in South Australia has secured a contra
ct valued at more than $5 million to export flour into India.
Flinders Ranges Premium Grain will supply a frozen dough factory in northern Ind
ia for the next three years, using grain grown on the shareholders' farms at Orr
oroo in the State's mid-north.
Company chairman Peter Barrie says negotiations have been going on for the past
13 months.
"India is a land of contrasts, it can be overwhelming, their business culture ge
nerally is different," he said.
Vic farmer joins Gore climate change campaign
A Victorian farmer has joined the campaign by former United States vice-presiden
t Al Gore to increase awareness about climate change.
A group of 85 volunteers will set out across the country to display the slides s
een in Mr Gore's documentary, An Inconvenient Truth.
Goulburn Valley fruit grower John Pettigrew says his role is to make the present
ation available to farmers.
"It's a matter of getting some Australian or some examples that we'd be more fam
iliar with than some of the American examples he had," he said.
"Most of us can see evidence there that we suspect is climate change.
AWB to split
AWB is planning to split the company in the wake of the Cole inquiry report.
Chairman Brendan Stewart has also announced he will stand down, once the split i
s approved by shareholders.
As expected, the embattled wheat exporter has proposed to separate AWB Internati
onal, which owns the single desk licence and service provider AWB Limited to ind
ependent companies.
AWBi will be wholly grower-owned and manage the national pool, while AWBl will b
e listed on the stock exchange and its services to AWBi will be decided in a new
agreement to be voted on by shareholders at a February annual general meeting.
Managing director Gordon Davis will also introduce a new executive team to run t
he company and AWBl's Mr Stewart will stand down in a bid to improve the company
's governance.
Meanwhile, BHP Billiton says an internal review into its involvement in the oilfor-food scandal has exonerated the company.
The mining giant was implicated when the Cole Commission heard that BHP Petroleu
m had delivered a shipload of wheat to Iraq in 1996, worth millions of dollars.
Chief executive Chip Goodyear says the internal review has reflected the Cole re
port finding that there is no basis for adverse findings against the company.
"BHP and BHP Billiton acted consistently with the UN sanctions and Australian la
w," he said.
AWB plan 'not a permanent solution'
The US wheat industry has rejected AWB's plan to split the company into two sepa
rate businesses.
US Wheat Associates claims the AWB split into a grower-owned operator controllin
g exports and a commercial agribusiness firm does not get rid of the single desk
monopoly targeted by the US.
"We believe that any solution that leaves a monopoly in place in Australia, Cana
da, wherever it is, no matter how you shuffle the boxes around or shift responsi
bility from one organisation to another, a monopoly is not a permanent solution,
" spokesman Steve Mercer said.
Mr Mercer said if the new arrangement leaves in place veto power over private ex
ports with a new organisation or Australia's Wheat Export Authority it is still
a monopoly and must be ended.
The Australian Grains Exporters Association is also critical of the split becaus

e it will not make the market contestable until next harvest.

AWB will seek the approval of shareholders after its annual general meeting in F
ebruary.
But association spokesperson Alick Osborne says that is not good enough.
"If this gets up at all, it won't be until the middle of next year which is far
too late for growers, particularly those growers in Western Australia, who are t
rying to make marketing decisions for the wheat they produce this harvest and ar
e not comfortable with the lack of choice being provided to them today," Mr Osbo
rne said.
Graincorp's profit jumps
Eastern Australian bulk grain handler Graincorp has announced a full year aftertax profit of $39.5 million.
The result is a whopping 193 per cent higher than last year's result.
Managing director Tom Keene says the good outcome has allowed the company to pay
a dividend of 50 cents a share and pay off $55 million of debt.
But with only 1.9 million tonnes of grain currently in the system, he says the c
ompany is forecasting a bleak 2007.
"The outlook for the current year reflects the extensive drought conditions [and
] we have already provided guidance on our FY07 [2007 financial year] of a loss
of between $20 to $30 million," he said.
"As part of our strategy to manage this we continue to reduce our costs and focu
s on revenue improvement in a number of our business units."
Cattle processors in for rough ride: AMH chief
One of the country's biggest meat processors says meatworks in southern Australi
a could close due to falling cattle numbers.
The chief executive of Australia Meat Holdings (AMH), John Keir, has seized upon
Meat and Livestock Australia figures that show slaughter rates could fall by as
much as 800,000 head next year.
Mr Keir says with too many abattoirs and too few cattle, processors will face ve
ry tough times.
"I mean if we're going to see a reduction in the herd and therefor a reduction i
n slaughter numbers there will be surplus capacity," he said.
Drought and salt tolerant crops to be available sooner
Farmers are set to receive new crop varieties faster with two new plant research
centres being set up in Adelaide and Canberra.
The National Plant Phenomics Facility will adapt the latest medical imaging tech
nology to use on plants at the CSIRO in Canberra.
In Adelaide, plants will be moved around on conveyor belts and photographed in 3
D as they grow.
CSIRO Plant Industries chief Dr Jeremy Burdon says crops that are more drought a
nd salt tolerant will be available sooner.
"We believe that this will lead to a major increase in the effort that we can ap
ply and through that the speed which we can deliver to farmers important and new
invaluable traits," he said.
"And those sorts of traits are obviously those that are at the forefront of all
our minds at present and believe will continue to be.
Tax cuts encouraged for bio-industries growth
There is a push in the Northern Territory for tax breaks to encourage the growth
of bio-industries, which convert plant and animal materials into commercial pro
ducts.
Pharmaceutical companies are using bush tucker like the Indigenous plum gubinge
because it is the world's richest natural source of vitamin C.
Dr Anna Lavelle of Australia's Biotechnology Organisation says the Territory Gov
ernment needs to find ways to help investors.
"People often want to invest in biotechnology but not at their own expense. One
of the things that I'm going to be looking at in the next 12 months along with g

overnments is to say, well what can we do to encourage investors?" Dr Lavelle sa

id.
El Nino may be benefiting fishing, aquaculture
El Nino weather systems may have a bad name for bringing drought to Australia bu
t they might bring benefits for fishing and aquaculture.
The interaction between weather systems and the ocean will soon be tracked more
closely, with the installation of high-tech monitoring equipment along the Austr
alian coast.
South Australian based oceanographer Dr John Middleton says the equipment will g
ive a more accurate picture of the impact of El Nino systems on marine life.
"The research I've done to date suggests they can actually lead to more nutrient
s available to the food web and thus more productivity," he said.
Bracks names new Agriculture Minister
A former motor mechanic is set to become Victoria's new Agriculture Minister.
Premier Steve Bracks has announced a major shake-up of his Cabinet after his thi
rd term election win.
Member for Ripon Joe Helper will be sworn-in to replace Bob Cameron, who moves t
o the police portfolio.
Mr Helper admits he has been given the role at a challenging time, as many farme
rs struggle with the drought.
"I've certainly got a lot to learn, there's no question about that," he said.
"I look forward to getting out and listening to farm businesses, to farmers, to
communities and farming organisations.
Murray cod fishing moratorium under consideration
Recreational fishing for murray cod in South Australia is under threat because
f poor reproduction levels and the drought.
The State Government is looking at a moratorium, worried that more people will
atch more cod because of lower river levels.
But recreational fisher Peter Teakle does not agree with a moratorium and says
he cod fishing season should be shortened instead.
"I just think that we should show caution - how we are going to construct this
oratorium?" he said.

o
c
t
m

Ultra fine wool bale sells for seasonal record price

A seasonal record has been set for an ultra fine bale of wool in Newcastle.
The 12.4 micron micron bale from the New England area of New South Wales sold fo
r 100,000 cents a kilogram greasy to an Italian weaver.
Fishermen plead with consumers to buy local
With Christmas less than a month away, Queensland fishermen have pleaded for con
sumers to buy local seafood over the holiday period.
Mackay operator Ruth Amos is struggling to compete with cheaper imported product
s and is asking shoppers to consider the origin of the seafood they buy.
"It's not that much dearer and you are supporting local jobs," she said.
Rudolph does a runner
There is grave news from the Northern Territory about Christmas.
It seems one of Santa's reindeer might have got lost on Lakefield Station just s
outh of Mataranka.
Gary Riggs almost hit the animal while he was out on a bore run and says it is t
he first time he has ever seen a deer in the bush.
"I thought jingoes I wished I had a camera," he said.
"Anyway I got home and I called a meeting, and it was all the kids and everyone
who's here and I said 'Santa's in a bit of a flap at the moment, he's a bit hot
and bothered'.
Govt seeks to strike balance over chemical restrictions

The Federal Government is asking the public whether there should be tighter rest
rictions on around 80 chemicals widely used in agriculture to try to prevent the
m being used by terrorists.
Attorney-General Philip Ruddock says the Bali bombings show that terrorists are
looking for readily accessible chemicals which are easy to use.
Farmers are opposing the changes regarding chemicals used in fertilisers, sprays
, grain fumigants and livestock production, saying there are already industry re
strictions in place.
Agriculture Minister Peter McGauran says the Government will try to strike a bal
ance between security concerns and the impact on farmers.
"High risk chemicals are not so freely available as the public might think at pr
esent anyway," he said.
Growers to fight imports of NZ apples
Australian apple growers will appeal against Biosecurity Australia's decision to
allow imports from New Zealand.
Under the recommendations, tough quarantine measures will be imposed on imports
to stop the disease fire blight entering Australia.
But the peak industry body says its 400 page submission on the plan was largely
ignored.
Apples and Pears Australia chairman Daryl Ashton says there should be additional
inspections of orchards in New Zealand because the disease risks are too great.
"The level of protection, that's the Government's responsibility and we'll be st
arting to call on the Minister and in fact all parliamentarians to ensure that A
ustralia's level of protection is what it should be and not what Biosecurity Aus
tralia wants it to be," Mr Ashton said.
Under the new rules, apple imports will still be banned in WA and the Tasmanian
Government is considering imposing its own ban.
Primary Industry Minister David Llewellyn says imports pose a serious risk to th
e Tasmanian industry.
He says state quarantine regulations could be tightened in response to the impor
t risk analysis.
Meanwhile the New Zealand Government is considering taking action through the Wo
rld Trade Organisation if the new import risk analysis for apples becomes law.
New Zealand Agriculture Minister Jim Anderton says the proposed quarantine regim
e will be too expensive for growers and is based on trade protectionism rather t
han science.
"If we can't get the facts in the way of others' prejudice, we'll have to look a
t other actions, and the WTO is the last resort," he said.
ALP leadership ballot to clear the air: Beazley
Federal Opposition agriculture spokesman Gavan O'Connor is among Labor MPs who m
ay have to fight for their positions during a party leadership ballot on Monday.
Labor leader Kim Beazley has called the ballot amid renewed speculation about hi
s future.
There has been talk about Mr O'Connor's future since he lost Labor preselection
for the Victorian seat of Corio earlier this year.
Mr Beazley says he wants Monday's vote to include all positions, so the frontben
ch is secure in the run to next year's election.
New plant to ensure supplies of Q fever vaccine
Supplies of the vaccine for Q fever have been secured with the Federal Governmen
t to fund a new manufacturing plant.
The only manufacturer CSL had stopped making the drug because it is no longer pr
ofitable.
The Government will give CSL $9 million for the new plant, which is expected to
start production in mid 2009.
But vice president of the Australian Veterinary Association, Dr Matthew Makin, s
ays he wants CSL to release details of its contract arrangements with the Govern
ment.

"I guess we want a concrete guarantee that supply of this vaccine will not be in
terrupted as it has been in the past, so that we can ensure the safe health of t
hose working in the agricultural sector," he said.
"That's where we've been for the last six months. Supply of the vaccine is runni
ng out and it has been rationed, so theoretically people who should be receiving
it may not be receiving it."
Hunter Valley farmer Bev Adams, who has suffered from the disease, says the anno
uncement is great news.
Murray River inflows continue to be low
November has been the fifth consecutive month of record low flows into the Murra
y River system.
Only 50 gigalitres of water entered the system in the past month, compared to th
e average inflow of 800 gigalitres.
Just 608 gigalitres has entered the system since June.
Former AWB exec steps down from SA company
One of the men potentially facing charges over the oil-for-food scandal has resi
gned from South Australian company ABB Grain.
Nigel Officer left last Friday before the Cole report was tabled in Federal Parl
iament.
Mr Officer, a former executive director of AWB, has left ABB following a managem
ent restructure.
Industry analyst Malcolm Bartholomeaus says he is not surprised by the move.
"Nigel was one of the former executives who appeared before the Cole Inquiry who
did see the light of day at the end and turned to be one of the whistleblowers,
" Mr Bartholomeaus said.
Wheat competition with India expected to heat up
Australia is set to have some stronger competition in India, with the Indian Gov
ernment predicting a record domestic harvest.
The world's second-largest producer of grain is anticipating farmers will produc
e up to 80 million tonnes, compared to last year's 69 million.
India was forced to import wheat for the first time in six years on the back of
last year's poor crop.
Farmers rush to sell off cattle
Southern New South Wales and Victorian livestock markets are overflowing as farm
ers sell off their cattle.
Producers say they cannot hold onto cattle until after the Christmas break becau
se of severe water restrictions in the southern Riverina.
Nicole Varley from the National Livestock Reporting Service says as a result mar
kets could resume earlier than usual next year.
"Everyone's now talking whether or not they are going to go back straightaway af
ter New Year's or whether they'll hold back," she said.
Summit dispels perception of plentiful northern water
A Darwin summit on water resources in northern Australia has been told there is
not an abundance of water to support development.
Tropical rivers make up 70 per cent of Australia's freshwater and there has been
debate about whether southern farmers should be moving north to escape drought.
But the Northern Territory's Environment Minister, Marion Scrymgour, says the co
mmon perceptions are wrong.
"We need to focus on that we have severe rainfall for five months of the year an
d then plan for the other seven months of the year when there is no rain," she s
aid.
"And we have seen the patterns over the last five years, where we have had a red
uction in those rainfall patterns."
"So we can't become complacent, we have to change those attitudes and we have to
work together about how do we better educate the communities.

Wool prices ease slightly

Increases in the US exchange rate have not helped the wool industry this week.
Prices eased slightly - the eastern market indicator falling just one cent to 82
5 cents a kilogram.
Demand was led by China, with European buyers showing keen interest in the Newca
stle sale
An Italian company set a seasonal record for an ultra fine bale of 12.4 micron w
ool this week, paying 100,000 cents a kilogram greasy.
Scientists focus on shellfish to help research climate change
New scientific research is focusing on shellfish in an attempt to unlock the aff
ect of humans on the climate.
A PhD student at the Australian National University is using oysters and mussels
from Tasmania, Queensland and New South Wales to track changes in salinity and
temperature.
Sarah Tynan says scientists around the world are starting to do similar work.
"I'm hoping to add to the overall picture of climate change," she said.
Bushfires spark concerns for koala population
Fears are held for the biggest koala population in New South Wales, which is und
er threat from bushfires in the state's north-west.
The state's new wildlife rescue service has travelled today to the Pilliga regio
n to assess the koalas, with Taronga and Western Plains Zoo on standby to accept
any injured animals.
Japanese consul-general helps mark rice crop anniversary
The Japanese consul general has helped to mark the 100th anniversary of Australi
a's first rice crop.
Shisei Kaku has unveiled a memorial sign near Swan Hill in north-west Victoria.
He says he is proud to commemorate the time when Japanese farmer Joe Takasuka fi
rst planted a crop on flood prone land on the Murray River.
Dairy farmers attitudes to environment changing
A new survey has revealed a noticeable change in Australian dairy farmers' attit
udes towards the environment.
More than 1,200 dairy farmers were asked about their natural resource management
practices and the results show producers are considering their impact on the wi
der community.
Dairy Australia's Cathy Phelps says while most farmers acknowledge there is room
for improvement, they are committed to protecting the environment.
"It's partly about having that social license to farm and ensuring that the indu
stry is well accepted in the community," she said.
"I think it's also the fact that the industry has taken a lead role in driving t
hese programs and ensuring that they're farmer led.
Senator confident of support for PM's wheat export model
An influential Liberal senator says he is confident the Prime Minister will put
forward a model for the future of wheat export marketing which most government p
oliticians and wheat growers will be able to support.
New South Wales Senator Bill Heffernan says no government politicians are callin
g for the complete scrapping of the single desk.
Senator Heffernan says the model will retain the advantages for wheat growers th
at having a single desk gives them in a world market distorted by different trad
e barriers and subsidies.
"While Australia's wheat farmers to some extent have been betrayed by the past,
we've got to look to the future and offer opportunities that open up the market
to growers and not necessarily to punters, carpetbaggers and wheat traders," he
said.

Grain storage
Meanwhile unusually high levels of grain are in storage around the country.
The latest Australian Bureau of Statistics (ABS) figures show more than 13 milli
on tonnes of wheat, barley and other feed grains are currently held by bulk stor
age companies and grain handlers.
Karen Connaughton from the ABS says the numbers are boosted from last year's bum
per harvest.
"This is the first time that we've done this collection since December 2004 so w
e have no previous data to compare with," she said.
"But what people need to remember is that the 2005-06 harvest was almost a recor
d high harvest.
Rudd wins Labor leadership
The new federal Labor frontbench will not be decided until Thursday after the ap
pointment of new Opposition Leader Kevin Rudd this morning.
Mr Rudd defeated Kim Beazley by 10 votes to take out the ballot, 49-39.
Canadian canola a slap in the face for Aust farmers: Greenpeace
Greenpeace says a shipment of Canadian canola which arrived in Newcastle yesterd
ay is a slap in the face for Australian farmers.
The environmental group is appealing to the major supermarkets and food processo
rs not to use the genetically modified (GM) canola, imported by grains trader Ca
rgill.
Spokeswoman Louise Sales says consumers do not want to eat GM foods and the big
food chains should respect their wishes.
"[We need] to build consumer pressure to make companies like Woolworths and Cole
s refuse to take the shipment," she said.
"If you look at the figures and the predicted canola crops [it is] 400,000 tonne
s and domestic demand is only 100,000 to 115,000 tonnes, so we've got ample supp
lies to meet domestic demand."
Historic cattle property sells for $27m
One of Australia's most historic cattle properties has been sold for a reported
$27 million.
Goonoo Goonoo was established under an 1833 grant from King George IV to the Aus
tralian Agricultural Company.
The 5,400 hectare farm near Tamworth, in New South Wales, was owned by the Colon
ial Agricultural Fund, which was bought out by central Queensland cattleman Pete
r Hughes and partner Bill Scott earlier this year.
It has now been sold to the Macquarie Goodman Group.
Mr Hughes has also sold the Trevenna Downs aggregation near Goondiwindi and says
the properties did not suit his focus on the northern cattle industry.
"It doesn't fit with the operation we are dealing with in north and central Quee
nsland," he said.
"In a big pastoral situation I find the economy of scale is not there.
"They are wonderful family places, very good for families and private individual
s.
"When you get into the bigger scale, you have got to employ whatever you have go
t to employ to make those big places run.
Dalby stock horse sale fetches record prices
Records have been broken at Australia's biggest stock horse sale in southern Que
ensland.
New records were set for all categories at the annual Dalby sale with the highes
t price of $70,000 paid for a mare by well-known sire Warrenbri Romeo.
That was $5,000 higher than last year's record price and livestock agent Mick Cu
skelly says the sale made nearly $2 million altogether.
"We're a little bit back in numbers which you always get in these tough seasons
and we had quite a few withdrawals before the sale, a few people couldn't make i
t, couldn't get away form their properties with the drought in the country," he

said.
Stock Horse Society set to open US branch
The Australian stock horse is on the verge of making it big overseas.
The Stock Horse Society expects to open a branch in the United States next year
to target Australia's biggest growing market for the stock horse.
Society spokesman Cooper Wright says the Americans want to become more involved
in the breed.
Lamb slaughter levels reach 25 year high
Lamb slaughter numbers are at their highest levels in more than 25 years.
The Australian Bureau of Statistics (ABS) says total sheep and lamb slaughter nu
mbers have risen for the tenth consecutive month to more than 3.2 million.
Mutton production was also up.
Nigel Gibson from the ABS says the figures reflect the impact of the drought.
"We had 1.7 million lambs processed for the month which is around 200,000 more f
or the same month than the four or five previous years," he said.
"[It is a] very much higher figure than what we'd normally expect to see.
Calf sales held early
The drought has forced Victoria's annual new year weaner calf sales to be held e
arlier than usual.
The sales usually allow breeders to present their best beef cattle to buyers fro
m across Victoria and New South Wales.
More than 2,000 cattle were sold in Wangaratta on Friday, with a pen of 20 angus
steers making the top price of $460 each.
Farmers say they were pleasantly surprised with prices paid.
Robin Gibb from Milawa says the bigger steers made over $400 and the smaller dra
ft sold for just under.
"They are better than I expected on the day and the conditions actually," he sai
d.
Graham Batten from Moyhu sold two pens of steers and says he is "more than happy
".
Dairy Australia appoints drought coordinators to help farmers
Dairy Australia is taking further measures to ensure farmers are looked after du
ring the drought.
In Victoria, local drought coordinators have been appointed to help troubled far
mers connect to drought relief and financial services.
Gippsland coordinator John Hutchison says it is another way of farmers helping e
ach other out.
"I think Dairy Australia are trying to be proactive and be seen by the dairy com
munity that they are actually understanding the difficulties that farmers are un
der," he said.
Red meat producers warned about white meat threat
Red meat producers are being warned that their biggest overseas competition migh
t not be from traditional export rivals Brazil and the United States.
Jeff Grant, chairman of Meat and Wool New Zealand, says producers are facing a b
igger threat from pork, poultry and fish.
He says consumers in developing nations are changing their diets to include more
protein but white meat could become their first choice.
"That shift in terms of their diets means that for beef or milk in the dairy ind
ustry has a very good potential going forward," he said.
Qld mandarins to be supplied at Beijing Olympics
Mandarins from Queensland will be served during the 2008 Beijing Olympics.
The export win comes just months after the first shipment of honey murcott manda
rins was sent to China under strict new quarantine protocols.
It is welcome news for growers who lost fruit in recent hail storms.

But Graham McCosker from the grower co-operative, Gayndah Packers, says the bigg
est challenge will be meeting demand.
"It's just astronomical, we just came back from China a few months ago, we met a
buyer from Beijing," he said.
"She was very interested, she said, 'I will buy, I will buy' [and] she said, 'I
would like to take 300-500 containers per year'," he said.
China deal saves woollen mill
After facing an uncertain future 18 months ago, a century-old Tasmanian woollen
mill is making a comeback.
Launceston's Waverley Woollen Mill had been under administration with debts of m
ore than $1.5 million.
But the new managers have struck a deal to sell premium woollen blankets to Chin
a.
Managing director Bruce Grant says the company has had to look beyond domestic m
arkets.
"So we had to investigate opportunities overseas and we have been gradually havi
ng small shipments to various overseas countries," he said.
German fan club raises RFDS funds
A German-based fan club of the 1980s TV series, The Flying Doctors, have raised
$25,000 for the real Royal Flying Doctor Service (RFDS).
The German RFDS fan club began 11 years ago after members fell in love with the
series which is still screening in Europe.
President Renate Kaldenhoff says money is raised through memberships and selling
photographs signed by the stars of the show.
"It must be nearly 25,000, I always say my fans are really great," she said.
Barley single desk marketing system abolished in SA
After 10 years of operation, South Australia's single desk marketing system for
barley will be abolished.
Despite a majority of South Australian growers supporting a single desk in a ope
n ballot conducted earlier this year, the decision has been overturned.
Barley marketing will be overseen by an independent authority known as the Essen
tial Services Commission over the next three years.
After that, the market will be completely deregulated.
This has been the result of a four month review, pushed by the State Government
which has been denied national competition payments of up to $9 million in the l
ast three years due to lack of competition.
Winter crop harvest down 60pc: ABARE
The latest predictions from the Australian Bureau of Agriculture and Resource Ec
onomics (ABARE) show the nation's winter crop harvest is 60 per cent down on las
t year.
With the driest August to October period since 1900, ABARE is also warning summe
r plantings will suffer, particularly rice and cotton.
Chief commodity analyst Dr Terry Sheals says any grain and fodder stocks held on
farm will become increasingly important.
"I would expect the winter grains harvest, a lot of that harvest will be held on
farms in those areas worst affected by the drought," he said.
"The report confirms the seriousness of the situation.
"We are looking at the lowest winter grains crop in 10 years, since the 1994-95
drought to be precise.
"The crop's estimated to be about 15.5 million tonnes."
Meanwhile as expected, drought conditions have intensified across eastern and so
uthern Australia.
The National Climate Centre says there has been a distinct turn for the worse si
nce August, due to the lack of late winter and spring rains.
Destructive aphid found in Yarra Valley

The destructive phylloxera aphid has been found for the first time in Victoria's
prestigious Yarra Valley wine region.
Until now the aphid, which attacks the roots of vines and causes them to die, ha
s been restricted to the state's north-east.
A small vineyard has been quarantined and neighbouring properties warned about t
he outbreak.
Dr Patrick Sharkey from the Department of Primary Industries says he is hopeful
phylloxera will not spread into the big wine regions in the state's west.
"We've actually put special control areas in there to stop vines and bins, and m
achinery moving in there without cleaning," he said.
"That, along with the soil type which is not conducive to the spread of phylloxe
ra, has helped keep those vineyards free.
Authorities inspect commercial banana farms
Authorities are inspecting commercial banana farms in northern New South Wales t
oday after the discovery of the disease 'bunchy top' north of Lismore.
The disease has not been seen in the Richmond Valley since it was eradicated in
the 1970s.
A commercial grower found the disease on his farm last week.
Academic suggests water allocations for city residents
There is a call today for governments to consider water allocations for city dwe
llers and businesses.
Mike Young, a professor at the University of Adelaide, says there should be a mi
nimum supply of water that is cheap and protected, with extra water available to
everyone on an open market.
Professor Young says the move would drive up water prices during droughts reduci
ng shortages and generating more money for water infrastructure, desalination an
d recycling projects.
"If we start having high prices in urban areas then they'll start actually makin
g the water that they need themselves and actually recycling and doing all those
other things," he said.
Group seeks to inform Indigenous communities about NWI
A new group wants to help remote Aboriginal communities to learn more about the
National Water Initiative (NWI).
The Indigenous Water Policy Group wants to break down barriers by translating po
licy into traditional languages.
Executive officer Joe Morrison says remote communities are still largely unaware
of the implications of water trading and native title rights regarding water.
"We think that the native title process and the NWI only talks about customary u
se, and customary use as being for non-commercial purposes," he said.
Woolworths to pay more for beef in WA
Woolworths says it will lift the prices it pays for beef in Western Australia to
help farmers through the drought.
Prices paid to Western Australian suppliers will increase by a minimum of two ce
nts a kilogram.
The supermarket chain has denied the increase is linked to an investigation by t
he Australian Competition and Consumer Commission into meat prices.
Tim D'arcy from the Pastoralists and Graziers Association says it is a welcome s
tep.
"It's a very minimal increase," he said.
Hay reserved for drought assistance stolen
Hay to feed livestock on drought-affected farms in Victoria has been stolen.
Melbourne Water is cutting grass in its reserves to help to send to farmers in d
rought-declared areas and was planning to donate around 700 round bales.
Victorian Farmers Federation drought coordinator Brenda McLachlan says thieves h
ave taken hay worth $10,000 that had been cut and left to dry.

"The hay is allocated to needy farmers and so it is very disappointing for us,"
she said.
Plantation timber companies offer agistment, water access to farmers
Plantation timber companies are opening their gates to assist farmers in drought
-stricken areas, offering cheap agistment and access to stored water.
Across southern South Australia and western Victoria, bluegum plantation company
Timbercorp is allowing farmers to pump water from dams to water livestock.
And Great Southern Plantations has offered lower rates for agisting sheep amid i
ts bluegums.
Spokesman David Ikin says the company benefits as well.
"The sheep feed on grasses and so forth that are growing between the trees keepi
ng down the undergrowth," he said.
"[It is] obviously from the farmers' point of view, a valuable source of feed th
rough what's been a tough time.
"We've got about 30,000 sheep altogether now grazing on our properties.
Horticulturalists fear loopholes in proposed code of conduct
Sections of the horticulture industry say they still have concerns about the man
datory code of conduct due to be tabled in Federal Parliament.
The code is designed to improve transparency between growers and wholesalers but
Ian Hay from Cherrygrowers of Australia says many producers have not had a chan
ce to see the draft legislation.
He says many are worried that there will be too many loopholes for buyers operat
ing outside the central markets.
"The hard part is that when things get tabled in Parliament they can quite easil
y become law and we have no recourse to change it," he said.
Rain hampers blueberry harvest
Australia's major blueberry producing area on the north coast of New South Wales
is battling the problem of too much rain during harvest.
Cool and wet conditions have interrupted picking and one producer says his crop
is down 20 per cent on forecast production.
Ridley Bell from Mountain Blue Orchards near Lismore says fruit rot is a problem
in the wet.
"We had one period there of nine days when we couldn't get in to pick because of
rain and the fruit starts to go soft and you have a problem as to know whether
to pick that fruit," he said.
'Slots' may accelerate fires, says researcher
A bushfire researcher says slots or super dry air which reaches the earth's surf
ace from a high altitude may have accelerated some of Australia's worst fires.
Dr Graham Mills is investigating the phenomenon in relation to the fatal bushfir
e on South Australia's Eyre Peninsula in 2005 and the Canberra fires of 2003.
He says satellite imagery has revealed a dry slot moving towards Canberra on the
day the blaze hit the city.
"My hope would be that we would have some hours of warning for at least some of
these events," he said.
Australian cattle trade campaign under way in Indonesia
A big push is under way to step up the live cattle trade between northern Austra
lia and Asia.
Meat and Livestock Australia (MLA) is running a major campaign in the Indonesian
capital of Jakarta this month, funded by the cattle transaction levy.
Spokesman Mike Hayward says 30 supermarkets will feature cooking demonstrations,
recipe cards and giveaways.
"Overall, sales will increase from around about the 650 mark (650,000 cattle) up
to over 750,000-800,000 head," he said.
"Probably in the five year period, back up towards 1 million (cattle exported).
"I think it's tens of years, you know there's 200 odd million people up here, it

's a growing economy, people are aspiring to getting out of the wet markets into
the modern retailers, into the malls.
Wheat export changes may compromise national pool: AWB
Wheat exporter AWB says a lack of clarity in the Federal Government's changes to
the wheat export system could compromise the national pool.
In the wake of the Cole inquiry, the Government will take control of AWB's veto
power over wheat exports for six months while it discusses the future of the sin
gle desk.
AWB says the change will prevent the company from forecasting future earnings.
Managing director Gordon Davis says he will meet with Agriculture Minister Peter
McGauran to discuss the impact on growers who have already delivered wheat to t
he national pool.
"Under the previous obligations, AWBI had the ability to veto exports if it cons
idered they weren't in the interest of the national pool," he said.
"In these transitional arrangements, the Minister will have an obligation to mak
e decisions in the public interest.
"The arrangements are very complex as they currently are and there's a range of
interests that need to be satisfied in any discussions."
Vaile
Deputy Prime Minister Mark Vaile says the Government will not allow Australian w
heat exports to compete against each other in overseas markets.
The Government will decide which companies are allowed to export wheat for the n
ext six months, but AWB will not have to apply for an export permit.
Mr Vaile wants the Government to gauge the views of grain grower organisations a
nd wheat farmers before any decisions are made on the future of the export syste
m.
"We initially need to have a discussion with those groups to draw together the p
oints of view to probably develop an options paper going forward, then that need
s to be broadly discussed across the industry," he said.
"I think that at a point in this process the best thing that we can do as a Gove
rnment is communicate directly with growers."
WA growers
Meanwhile the decision to remove AWB's veto is expected to have the biggest impa
ct on Western Australian growers, with many warehousing their wheat this harvest
.
But growers in the west have mixed feelings.
"I think it was a good decision because there was a stalemate and I think it'll
be beneficial to WA wheat growers, the ones that have warehoused their wheat," o
ne grower said.
"It also gives protection to the farmers who have delivered into the pool."
"Stripping the right of veto from the AWB this year, in an exceptional drought y
ear and given to Mr McGauran could be fraught with danger," another grower said.
"Before I allocate my wheat I want to know that CBH (Co-operative Bulk Handling)
has got a realistic chance of extracting a $20 or $30 a tonne premium," a third
wheat grower said.
"If they have, well then that's probably where the wheat will go.
"It's just on a price thing, there's no loyalty left, I don't think."
CBH to renew export application
The Government's decision has opened the door for the CBH group to re-submit a r
ejected application to export wheat.
Four bids by the WA-based grain handler to send wheat to its mills in Asia have
been vetoed by AWB in the past two years.
CBH chief executive Imre Mencshelyi says the company is likely to make a new att
empt within days.
"I think it is a significant first step in the changing environment that we curr
ently find ourselves in, it is our intention to re-submit our application to exp

ort 2 million tonnes of wheat to our flour mills in Asia," he said.

"Once the guidelines and details of the new power of veto become clear, I think
that's important for us to understand exactly what [the] Government means by thi
s decision."
Graincorp welcomes AWB changes
In the east, Graincorp chairman Don Taylor has welcomed the change, but says he
ultimately wants the single desk opened up to competition.
"I think there is an opportunity for east coast growers to benefit from those ch
anges, but it depends on the market circumstances at the particular time," he sa
id.
Barley growers divided over market deregulation
Barley growers in South Australia are at odds over plans to deregulate the state
's barley market.
A review has recommended the single desk held by ABB Grain be phased out over th
e next three years, despite a ballot of growers showing overwhelming support for
the current system.
Talkback callers to the ABC have been mixed in their response.
"I just can't comprehend that concept, I think we're in for a big loss with our
barley industry if this new concept goes ahead," one caller said.
"Well what a big day, December 5, 2006, the end of the stupid single desk for ba
rley in South Australia," another caller said.
NFF backs calls for climate change action
The National Farmers Federation (NFF) has joined calls for early action to tackl
e climate change.
Members of the NFF's policy council have voted to become part of the Australian
Business Roundtable on Climate Change.
President David Crombie says the nation's farming bodies need to involved in eff
orts to address climate change because of the impact it will have on agriculture
.
His calls come as the Federal Government confirms that Australia's greenhouse ga
s emissions are set to rise by 22 per cent by 2020.
The bleak news is contained in its State of the Environment report, released tod
ay in Canberra.
The report also confirms there has been five years of lower than average rainfal
l across most of eastern Australia and that Perth's water supply catchments are
yielding half as much water as they did in the 70s.
Committee chairman Associate Professor Bob Beeton says things will get worse bef
ore they get better.
"Some of the heritage properties may decline, some biodiversity may decline, riv
er health may continue at a very low level and the CO2 levels obviously continue
to increase," he said.
"The amount of energy use in Australia is still increasing and we need to figure
out what we're going to do about that."
Meanwhile, the energy sector says managing climate change will be its greatest c
hallenge for the next few decades.
The Energy Futures Forum has released a report which says future investment will
hinge of the industry's response to climate change.
But forum member Tony Wood says developing countries will have to make an effort
as well.
"No-one would suggest that Australia should act unilaterally forever," he said.
"(A) we would just damage our own economy and (b), we wouldn't solve the problem
of climate change anyway, so there's no doubt we require a global solution.
Labor senator predicted to take agriculture post
Labor's outgoing agriculture spokesman expects Tasmanian Senator Kerry O'Brien t
o be the frontrunner for the portfolio.
Gavan O'Connor has agreed to step down after the appointment of Kevin Rudd to th

e party leadership.
A frontbench ballot will be held tomorrow and Mr O'Connor says there are several
candidates with experience in agriculture.
"Senator O'Brien has been a participant in the Senate Rural and Regional Affairs
Committee over a long period of time and knows many of the key players in the i
ndustry and others," he said.
Meatworks struggle to cope with livestock influx
Meatworks in northern Tasmania are working overtime to cope with a big influx of
livestock due to the dry conditions.
Tasmanian Quality Meats spokesman Brian Oliver at Cressy says farmers are becomi
ng increasingly desperate to get rid of stock.
The small plant is processing 2,500 sheep and 2,000 lambs a week and Mr Oliver s
ays there is at least a month-long wait to get stock through.
"We are just struggling to keep in front, we are working six days a week and we
are just looking at putting in an afternoon shift in the boning room to try and
move some more numbers," he said.
Green light given to saleyards development
After years of delays, the Western Australian Government has given the go-ahead
to a major development to replace the ageing Midland saleyards on Perth's outski
rts.
The livestock industry has been frustrated by the delays and cost blow-outs for
the proposed Muchea yards.
Although there is still no clear time frame or cost estimate, industry represent
ative Malcolm Edward says he is pleased to hear it is heading in the right direc
tion.
"In the past I think industry was concerned about replacing Midland, but knowing
that the other regional centres needed upgrading or replacing, it had been the
wish that we'd get a total approach to the whole thing," he said.
Territory pastoralists hopeful of receiving drought assistance
There are new hopes that drought-hit pastoralists in the Northern Territory will
receive federal assistance.
The Northern Territory Cattlemen's Association and the Territory Minister for Pr
imary Industry Chris Natt have met with Federal Agriculture Minister Peter McGau
ran to seek help.
Association president Roy Chisholm says although they have been knocked back twi
ce, he is hopeful that southern producers will receive exceptional circumstances
aid.
"Now there is a slightly different criteria," he said.
Centenarian maintains enthusiasm for farm life
She may be about to celebrate her 100th birthday but the Hunter Valley's Harriet
Madden has not lost her enthusiasm for farm life.
For most of her life, Mrs Madden has been a dairy farmer with her late brother L
en.
Despite enduring tough times and drought, Mrs Madden says she is now enviously e
yeing off a farm that is for sale next door.
"And if I had my way, if I had the money, I'd buy that now," she said.
"They only want $3,000 for it, it's a bit much when you're on the pension.
NASA sees evidence suggesting liquid water on Mars
Images taken by NASA's Mars Global Surveyor spacecraft suggest the presence of l
iquid water on the Martian surface.
It is a tantalising find for scientists wondering if the Red Planet ever has har
boured life.
The orbiting US spacecraft allowed scientists to detect changes in the walls of
two Martian craters that may have been caused by the recent flow of water, a tea
m of researchers say in a paper appearing in the journal Science.

Scientists previously had established that two forms of water - ice at the poles
and water vapour - exist on Mars, but liquid water is crucial to nurture life.
The scientists compared images of the Martian surface taken seven years apart an
d found the existence of 20 newly formed craters caused by impact from space deb
ris as well as the evidence suggesting liquid water trickling down crater walls.
"These observations give the strongest evidence to date that water still flows o
ccasionally on the surface of Mars," Michael Meyer, lead scientist for NASA's Ma
rs Exploration Program, said in a statement.
The paper says water seems to have flowed down two gullies in the past few years
, even though liquid water cannot remain long on the planet's frigid, nearly air
less surface because it would rapidly freeze or evaporate.
This seemed to support the notion that liquid water may exist close enough to th
e planet's surface in some places that it can seep out from time to time.
The scientists proposed that water could remain in liquid form long enough on th
e surface to transport debris before freezing.
The two bright new deposits are each several hundred metres long.
They cited a possible alternative explanation that these features were caused by
movement of dry dust down a slope.
Life on Mars?
Scientists long have wondered whether life ever existed on Mars.
Liquid water is an important part of the equation. On Earth, all forms of life r
equire water to survive.
Among the planets in our solar system, only Earth has a more hospitable climate
than Mars, and some scientists suspect Mars once sheltered primitive, bacteria-l
ike organisms.
Previous missions found evidence the Red Planet at one time boasted ample quanti
ties of water, and the question is whether liquid water is still present.
"As with many discoveries, the possibility that liquid water may be coming to th
e surface of Mars today poses many questions," the scientists said.
"Where is the water coming from? How is it being maintained in liquid form given
the present and most likely past environments? How widespread is the water?"
They also wondered whether the water could be used as a resource for future miss
ions to explore Mars.
The two sites are inside craters in the Terra Sirenum and the Centauri Montes re
gions of southern Mars.
"The shapes of these deposits are what you would expect to see if the material w
ere carried by flowing water," Michael Malin, lead author of the paper, said.
"They have finger-like branches at the downhill end and easily diverted around s
mall obstacles."
The researchers first reported the discovery of the gullies in 2000, but this is
the first time they have revealed the presence of newly deposited material seem
ingly carried by liquid water.
Last month, NASA said the Mars Global Surveyor mission appeared to be at an end,
saying it had lost contact after a decade-long mission in which it mapped the s
urface of Mars, tracked its climate and searched for evidence of water.
WA fishers welcome new illegal fishing laws
The fishing industry in Western Australia has welcomed new laws to toughen the n
ation's defences against illegal fishing.
The Royal Australian Navy has been given permission to shoot at uncooperative il
legal fishing vessels to disable engines or rudders but not sink them.
Kimberley Professional Fishing Association spokesman Alan Fraser believes it wil
l be a better deterrent.
"There's been a lot of talk of action being taken and money and resources being
expended on trying to solve this problem, but really up until now our efforts ha
ve been pretty dismal," he said.
Core cattle breeding stock numbers fall
The New South Wales Opposition says core cattle breeding stock levels have falle

n by 65 per cent due to the drought.

Opposition primary industries spokesman Duncan Gay claims it could take five yea
rs to rebuild stock levels.
North-west stock agent Dick Cameron says some producers have already lost all of
their breeding stock and may never recover.
"Some people have run out of heart, some have run out of money and some have run
out of both," he said.
US citrus export prices skyrocket
Citrus exports to the United States this year have attracted some of their highe
st prices in years.
Exports of navel oranges were down 33 per cent on the initial forecasts due to s
evere frost damage, with 1.4 million cartons shipped.
Greg Nelson from DNE World Fruit Sales says quality has been a factor in the goo
d prices.
"We really applaud the efforts of the growers, the packers, the quality control
inspectors in Australia because the condition of the fruit was excellent," he sa
id.
Chiquita takeover stalls
A takeover bid for the major food processor and wholesaler Chiquita Brands South
Pacific has been stalled.
Tradefresh, a joint venture between Timbercorp and the Cost Group, has managed t
o acquire control of the company with 78 per cent ownership.
But plans to de-list the company from the stock exchange cannot go ahead because
investment company MMC Contrarian is not likely to sell its 12 per cent stake.
Tradefresh and Chiquita chairman Robert Costa says he is disappointed at MMC's s
tance.
"Our original intention was to secure 100 per cent of the company, that's still
our intention," he said.
"Now we know that's not going to happen in the short term because we have a sign
ificant shareholder in MMC, who at this stage are not selling and that's their p
rerogative."
Chiquita has interests in the blueberry, banana, mushroom and citrus sectors.
US beef industry suspicious about bone chips find
The US Agriculture Department wants to examine bone chips that South Korea claim
s it found in two rejected shipments of American beef.
The US industry is suspicious about where the fragments came from.
US beef industry sources argue the tiny bones the Koreans claim they found, whic
h caused them to reject the US shipments, may not have been from animals the sam
e age as the beef.
United States Department of Agriculture Deputy Under-Secretary Chuck Lambert is
not ignoring the possibility that the shipments may have been tampered with.
"We've asked to have the bone chips returned, some people have suggested DNA sam
pling or other means of trying to determine the origin of those bone chips," he
said.
The latest suspicions threaten to raise the US-Korea beef dispute to a new level
after Korea earlier this year agreed to reopen its market following a 2003 US m
ad cow case.
Study to investigate irrigation scheme
The Tasmanian Government is looking at building the state's biggest irrigation s
cheme.
A study will look at the possibility of diverting water used for hydro electrici
ty to farmers in some of the driest parts of the state.
Farmer Richard Gardiner says power generation should no longer be the only use f
or the water.
"If you look at the state of water availability in the whole country and you loo
k at the fact that there's 2,000 odd megalitres a day earning $10 a megalitres,

I think there is no other way we can go into the future," he said.

Company defends GM canola imports
The importer of Australia's first shipment of genetically modified (GM) canola s
ays it had no choice but to buy in grain because of falling domestic production.
Three Greenpeace protesters had been arrested at the Port of Newcastle yesterday
as they tried to block 57,000 tonnes of Canadian canola being offloaded.
The grain will be processed in Newcastle and sold to unnamed buyers in the oilse
ed and biodiesel industries.
Cargill Australia importer Robert Green says crop levels in the eastern states h
ave been dramatically reduced.
"The current industry estimates that the crop's only been an odd 160,000 tonnes
in the eastern states, versus an east coast demand of over 500,000 tonnes of see
d," he said.
Milk production expected to drop
The dairy industry is expecting a big drop in milk production next year as farme
rs struggle to meet high feed prices, particularly in non drought-declared areas
.
Although milk processors are negotiating better farm gate prices and offering in
terest free loans, farmers are having major problems securing reliable feed deli
veries.
Dairy consultant Bill Naughtin says some farmers are not milking as much.
"I have heard on the grapevine that some people have decided to go once a day in
an effort to reduce water use, but most people I have spoken to have a plan in
place to feed their animals," he said.
"The principal concern at the moment is where are they going to get the money to
pay for the feed and how are they going to access feed that's reasonable qualit
y and reliable."
Pressure
Dry conditions in Tasmania are putting pressure on farmers who have been agistin
g dairy cows for their Victorian colleagues.
Worsening seasonal conditions are making it harder for farmers to help, but farm
er Greg Hall says they are doing their best.
"When we agreed to take an extra 100 or so heifers that was some six weeks ago b
ecause there was quite a bit of rough weather on Bass Strait it took some time t
o get them over," he said.
Drought to impact on farm incomes
The Australian Bureau of Statistics (ABS) says farm incomes are predicted to fal
l this financial year because of the drought.
It says farm GDP is to drop by 16 per cent and agricultural exports are likely t
o fall 14 per cent.
The ABS figures are confirming what farmers are seeing in the paddock as their i
ncomes are dropping, while the cost of their inputs are staying the same or risi
ng if they are feeding expensive grain to animals.
Meanwhile peak farm groups in the eastern states have formed a Recovery Alliance
to look at how the agriculture sector will rebuild after the drought.
The group will chase further funding from the Federal Government to help farmers
buy seed, fertiliser and maintain core breeding stock.
New South Wales Farmers president Jock Laurie says the situation is dire for all
rural communities, not just farmers.
"If we get into a situation where people out there actually reduce their croppin
g by half, then obviously that's the income halved for a lot of those small busi
nesses," he said.
"In circumstances like these, what we're aiming to do is to try to make sure we
get as much money flowing through agriculture, which then flows straight back in
through those small communities - that will keep those small communities going,
businesses going.

"The thing about this is that it's a way to help the whole regions, the whole co
mmunities, not just individual farmers."
Local community loses out
The economic impact of the drought is hitting home in one small community in sou
thern New South Wales.
The Temora Shire Council says many local grain growers have not harvested a crop
this year, costing the region about $100 million in lost income.
Mayor Peter Speirs says when farmers stop spending, the whole town suffers.
"It will be very hard for some of our businesses, there will probably be rationa
lisation of staff in some areas," he said.
Fires begin to merge as winds shift
Fire authorities in Victoria are warning that 600,000 hectares of Alpine country
in the state's north and south-east could be on fire by the weekend.
Fires sparked by lightning strikes earlier this week are merging as winds shift.
Temperatures are set to climb into the high 30s on Saturday, along with predicte
d hot northerly winds.
Bairnsdale district cattle grazier Frank O'Connor says all farmers can do is ren
ew fire breaks, check water supplies and pack personal belongings.
"We've gone through our family photographs and things that connect you to your a
ncestors and so forth, they've all been put in a bag," he said.
Opposition urges changes to croc laws
The Queensland Opposition is calling for legislative changes relating to capturi
ng crocodiles and harvesting wild crocodile eggs.
Under the current system, the Environmental Protection Agency (EPA) is responsib
le for the capture of problem crocodiles.
But the Oppositions environment spokeswoman Rosemary Menkins says with an increa
sing number of crocs, more people need to help.
"Our suggestion is - which is being asked for by the farmers - is to allow regis
tered crocodile farmers to actually capture and relocate the problem animals," s
he said.
"Secondly, a change in government policy that will allow the commercial harvest
of wild crocodile eggs, of course under strict guidelines."
GM canola shipment contaminated: AQIS
The Australian Quarantine and Inspection Service (AQIS) has confirmed a 57,000 t
onne shipment of imported genetically-modified (GM) canola is contaminated with
Canadian barley and weeds.
The shipment arrived at the Port of Newcastle this week.
It will be processed in Newcastle into protein meal and vegetable oil, and sold
to the food and biodiesel industries.
National manager for Plant Programs at AQIS Peter Liehne says it is common for b
ulk commodities to contain other material.
"In this case we found that there are some seeds present in the shipment which h
ave sufficient concern for us to look at the management of the product to ensure
there is no risk to the environment resulting from these weed seeds," he said.
ABS revises grain storage figures
The Australian Bureau of Statistics (ABS) has been forced to re-release figures
on the amount of grain in storage after the industry questioned the statistics.
Earlier this week, the ABS said bulk grain handling companies had more than 13 m
illion tonnes of grain in stock, including 10 million tonnes of wheat.
The revised figures show a drop to 10 million tonnes in storage overall, with wh
eat making up around 7 million.
The bureau's Karen Connaughton says there were a number of reasons for the chang
e.
"We haven't undertaken this collection since December 2004 so it was quite diffi
cult for us to verify the benchmark figure," she said.

"We did make some efforts to verify the figure and we got some broad parameters
from people, and it appears that the estimates we provided were too high."
AWB wheat export veto laws passed
The Federal Parliament has passed laws stripping AWB of its wheat export veto, h
anding it to Agriculture Minister Peter McGauran for six months.
Mr McGauran told Parliament the move would give certainty to wheat growers, part
icularly in Western Australia, providing a range of options for selling their wh
eat.
Gold price continues to climb
The gold price continues to climb on the back of a weaker US dollar and there ar
e even predictions the price could reach $US700 by Christmas.
Gold is once again being touted as the currency of choice on international marke
ts as the US dollar continues to weaken.
Compounding that effect is the global instability generated by Iran's desire to
develop nuclear weapons and a move away from the greenback by that country as we
ll as China.
China has announced it will start holding euros in preference to US dollars.
That has brought the bullish prediction out of Canada that gold could go above $
US700 within weeks.
Drought lowers wool production estimates
The latest estimates for wool production this season have fallen further due to
the drought.
According to Australian Wool Innovation, shorn wool production for 2006-07 is ex
pected to fall 9 per cent to 421 million kilograms.
The fall is due to a national drop in fleece weights, which are forecast to hit
their lowest level in more than 20 years.
Meanwhile wool prices continue to hold onto strong gains achieved in recent week
s, with a slight increase in the market at this week's sales.
French ask questions over cheese shipment rejection
The French Government is demanding an explanation from Australian quarantine aut
horities over the rejection of a fourth shipment of roquefort cheese, containing
high levels of E coli bacteria.
The Departments of Agriculture and Foreign Affairs are in talks with French trad
e representatives to resolve the dispute over the non-pasteurised product.
The importer, Lactalis, has stopped sending the iconic blue cheese to Australia
until the two countries reach agreement over its safety.
Lydia Buchtmann from Food Standards Australia New Zealand says authorities have
to be careful of any imported raw milk product.
"It's a complex issue and I suppose it's a question of finding out where the con
tamination occurs," she said.
"Of course the last thing that the importer or the producer of the cheese wants
is someone to get ill from it.
Aust wine exports up 8pc
The volume of Australian wine exports has reached a record 749 million litres th
is year, up 8 per cent.
In the latest wine export approval report, the value of wine has increased sligh
tly by 0.2 per cent, which is the first positive result in months.
Lawrie Stanford from the Australian Wine and Brandy Corporation says demand ahea
d of Christmas from the UK, China and Europe has led to increased volumes.
"Traditionally the Australian wine industry ships a lot of wine overseas to meet
the Christmas needs and also wine has matured over the last season around this
time," he said.
"So normally our peak season is around at the moment but we've had a couple of q
uiet months and November is a a great catch up for us."

NT growers brand small mango trays a flop

New, smaller trays used to transport mangoes have been branded a failure by many
growers in the Northern Territory.
The major supermarket chains Coles and Woolworths introduced the 12 per layer tr
ays to reduce handling.
But they are estimated to have cost Territory packing houses more than $2 millio
n, which is not being recouped in the marketplace.
Karl Gygar from Pinata Marketings says the supermarkets will have to accept the
trays are not working.
"Customers are looking at these boxes and thinking that they're either rejects f
rom Coles and Woolworths, and so obviously not worth a premium price," he said.
"I know for a fact that a lot of Queensland growers have cancelled their 12 per
layer box orders just due to the reaction in the market."
Buffalo whisperer hopes for more support to send buffaloes to Aceh
Efforts have begun to send another shipment of trained buffaloes from the Northe
rn Territory to the Indonesian province of Aceh.
Seven water buffalo were sent to remote rural villages earlier this year to help
residents recover from the 2004 Boxing Day tsunami.
Buffalo whisperer Graham Heffernan says the villagers have been frustrated by de
lays in replacing their important beasts of burden.
He is hoping the Federal Government will support plans to send another 50 by Apr
il.
"One of the first things one of the farmers said to me was, 'why so long'?" Mr H
effernan said.
"He wasn't having a go at me ... taking so long to get the buffalos there, it wa
s like, 'all this other aid has happened here in Aceh, why has it taken so long
for someone to bring buffaloes to us, because that's what we really need'.
"And that's just the beginning you know. Like hopefully in 12-18 months we may b
e sending them in hundreds per month."
The first Australian aid donation of trained water buffalo was the result of an
unlikely alliance between a buffalo whisperer, a private benefactor, Newcastle s
urfers, the live export industry, shipping, fodder, trucking and quarantine auth
orities.
Farmers urged to consider growing truffles
Farmers looking to diversify after the drought are being urged to look at produc
ing truffles.
It takes at least five years to produce up to 40 kilograms of truffles a hectare
.
The exotic french fungus is currently fetching $3,000 a kilogram.
The Australian Truffle Growers Association is having its inaugural meeting this
weekend near Canberra, although grower Wayne Haslam says potential newcomers nee
d to know the facts.
"You've got to be careful though - if it sounds too good to be true it usually i
s," he said.
Stock route traveller praises farmers' generosity
The generosity of farmers in times of drought has astounded a woman who has been
travelling the stock routes of southern New South Wales.
For the past two months, Elizabeth Murphy from the Adelaide Hills has been trave
lling along the Murrumbidgee River in a replica drovers wagon with two horses an
d a couple of chooks for company.
She says the country has dried off and water is short but farmers are always kee
n to help.
"The drought's so bad the farmers have got no food and yet when I was parked at
Darlington Point I was swimming in the river with my grandchildren and I got out
, and somebody had left a bag of horse feed for me," she said.
"I didn't even know who they were, they didn't even say hello, they just dropped
it off there for me.

Drought won't stop delivery of PM's Xmas tree

Not even the festive season can escape the drought, with this year's harvest of
Christmas trees producing smaller trees than usual due to poor rainfall.
Christmas tree farmer Gary Black from Gippsland in Victoria says trees from the
southern states are in high demand.
He says one of his special customers will receive the best tree he has to offer.
Senate committee members reject petrol inquiry report
Members of a Senate committee investigating petrol prices have rejected the inqu
iry's final report, prepared by Liberal Senator George Brandis.
The report concludes market fluctuations save motorists money, further regulatio
n would cost them more and the Federal Government cannot influence the higher pr
ices paid in rural areas.
Deputy chairwoman of the Senate Economics Committee Labor Senator Ursula Stephen
s says the report's conclusions are unacceptable.
"There was great disappointment by the recommendations which really supported th
e status quo and found there was nothing that could be done that could alleviate
higher petrol prices for country people," she said.
Wheat export system should focus on grower returns, Crean says
The Opposition's new trade spokesman, Simon Crean, says the single desk wheat ex
port system should not be used as a bargaining chip in world trade talks.
Prime Minister John Howard has said the Government will be careful it does not t
hrow away the single desk without getting something in return in the internation
al arena.
But Mr Crean says if Labor won government it would place more importance on maxi
mising returns to wheat growers and making sure the system was properly scrutini
sed.
"This can't be seen as a bargaining chip, it has to be seen as ensuring the retu
rn to viability and integrity in our wheat trade," he said.
Meanwhile Wheat Australia, the consortium of grain handlers ABB, CBH and Grainco
rp, has re-submitted its export application for 500,000 tonnes of wheat to Iraq.
It follows the decision last week by the Federal Government to shift the veto po
wer over wheat exports from AWB to Agriculture Minister Peter McGauran.
East coast grain handler Graincorp has also made four applications to export whe
at to Japan, Europe, Indonesia and Malaysia, totalling more than 200,000 tonnes.
In another development, grain analysts are predicting global stocks to fall to t
he lowest level in 20 years next season, as drought conditions hit most wheat-pr
oducing countries.
The United States Department of Agriculture predicts global wheat stocks will dr
op to 119 million tonnes next year, the lowest levels seen in two decades, thank
s to drought and difficult planting conditions around the world.
As a result, this year's high prices are likely to continue into 2007, with the
competition between fuel industries and food adding to the pressure.
Grains analyst Lloyd George says the so-called food versus fuel factor is signif
icant.
"The biggest surprise factor that's happened on a long term basis, the emergence
of biofuels would be right up there," he said.
"There's strong incentives to use these biofuels in a number of different countr
ies and I'd expect that to continue."
Saleyards used to protect shelter stock
As bushfires continue to burn in Victoria, local saleyards are being used to she
lter livestock.
Wangaratta saleyards in the north-east will be open 24 hours a day to accept cat
tle and sheep in emergencies.
Water and shelter will be available but the chief executive of Wangaratta Counci
l, Doug Sharp, says feed also needs to be provided.
"We can hold them indefinitely but it's the situation regarding feed that is the

issue," he said.
Senate committee calls for national water register
A Senate committee is calling on the federal and state governments to better dea
l with Australia's water problems by establishing a national water entitlements
register.
The Rural and Regional Affairs Committee's water inquiry report also recommends
the Federal Government should build a sewage recycling plant to educate the publ
ic and help farmers switch from crops that use large amounts of water.
Committee chairman Senator Bill Heffernan says better accounting of current wate
r stocks is needed to help planning.
"We need to put onto a database what water we've got," he said.
"In the Murray Darling Basin, we've identified 3,000 gigalitres that's going to
disappear out of the system due to climate change, fires, forest interception.
Eyre Peninsula farmers may have to shoot sheep
Farmers on Eyre Peninsula in South Australia may have to shoot their sheep in th
e next few months because they cannot afford to feed them or send them to market
.
Local producer Andrew Mills says low prices being paid for sheep and lambs, comb
ined with the high cost of transport to saleyards north of Adelaide, is forcing
tough decisions.
He says the glut of sheep and lambs from interstate makes it difficult to even b
ook sheep and lambs into abattoirs.
"In the next few months you might see quite a few sheep from Eyre Peninsula that
will just have to be slaughtered and buried if the numbers keep coming out of V
ictoria," he said.
"It's got to the stage this week that unless they are very good sheep, you'll ge
t a bill if you send them to Adelaide.
Wine grape growers may run out of water
Some wine grape growers in South Australia's Riverland could run out of irrigati
on water as early as next month.
The state's Murray River irrigators are currently only able to use 60 per cent o
f their entitlement.
Viticulturist Peter Burne says with the ongoing dry, irrigators are using more w
ater than usual.
"A lot of growers have already gone over 30 per cent of their total allocation f
or the year," he said.
Dept hopes sediment flow into Lake Argyle will decrease
Authorities hope they have slowed down the amount of soil running into Australia
's largest inland sea, Lake Argyle, in the Kimberley region of Western Australia
.
A decade ago, scientists estimated the Ord River Irrigation Scheme's main reserv
oir would lose 30 per cent of its storage capacity in the next 100 years.
But sediment levels have recently been surveyed again and Duncan Palmer from the
Department of Water hopes they show a slow-down of nutrient build up from wet s
eason run-off.
PGA to fight for farmers' water rights
The Western Australian Pastoralist and Graziers Association (PGA) says it will f
ight to maintain farmers' water rights after an Environmental Protection Authori
ty report allowed 45 gigalitres of water to be transported to Perth from the sou
thern Yarragadee aquifer.
The report, released late last week, says the Water Corporation can sustainably
draw water from the aquifer without harming the environment.
But farmers are concerned their future water needs have been overlooked.
Water spokesman for the PGA, Dave Wren, says it is time Perth started developing
its own water saving strategies.

"The National Water Initiative calls for each catchment to have a plan - Perth h
as not got a plan," he said.
"There's at least 112 gigalitres of water being pumped from domestic bores unlic
ensed and unmetered, there's recycling opportunities in Perth that have been ide
ntified.
NSW farm wins imported mushrooms anti-dumping case
A three-year anti-dumping case on imported mushrooms has now been resolved in fa
vour of an Australian processor.
The Federal Government has upheld its decision to put anti-dumping measures in p
lace against Chinese tinned mushrooms.
Michael Leahy, from Windsor Farms in central New South Wales, says his company i
s now considering action on dumped tomatoes, potatoes and corn but has urged the
Federal Government to speed up the complaints process.
"What it needs is clarification and some administrative changes inside the Act u
nder which they operate," he said.
"But also it probably needs to be resourced sufficiently to conduct the investig
ations quickly enough.
Committee pushes for act of Parliament to handle private logging
A New South Wales committee trying to resolve a 20-year debate over the manageme
nt of privately owned native forests wants a separate act of Parliament develope
d to deal with the issue.
There are 8.5 million hectares of private timber resources in the state and gree
n groups want tighter controls on logging.
The Primary Industries and Economic Development Committee, which is advising the
State Government, has until the end of the year to resolve the long-running deb
ate or risk industry losing control of the forests to the State Government.
Committee chair Craig Tate says the issue is not simply about regulating timber
harvesting.
"We have small communities out there that depend on the timber industry and the
private resource is a multi-million dollar industry and we have to be very caref
ul how we deal with it," he said.
"But also we are in a major environmental situation at the moment.
Bath sponge has potential global demand, scientist says
Marine researchers have discovered properties of the golden bath sponge that wil
l benefit agriculture, pearling and medicine.
Dr Chris Battershill, of the Australian Institute of Marine Science, says more w
ork is needed to successfully farm sponges.
"In the agricultural sector the leads can be taken right through to market and q
uite quickly," he said.
"Australia is leading the globe in many of the areas of farm husbandry and maint
enance, if you like, but also in the bio-medicinal sector, there is now a capabi
lity to take things into the clinic.
Govt not dealing quickly enough with global warming concerns: Garrett
The Opposition's new environment spokesman says a federal Labor Government would
be more responsive to farmers' concerns about climate change.
Peter Garrett, a former head of the Australian Conservation Foundation, was appo
inted in Kevin Rudd's weekend frontbench reshuffle.
Others with new portfolios relevant to rural Australia include Kerry O'Brien in
primary industries, Simon Crean in trade and regional development, Anthony Alban
ese in water, and Chris Evans in resources.
Mr Garrett says the Federal Government is not dealing quickly enough with commun
ity concerns about global warming.
Global commodities demand to prop up farm sector
Despite drought conditions and plunging farm incomes, high global demand for com
modities is expected to keep Australia's farm sector afloat in 2007, with prices

up 16 per cent on the same time last year.

The Westpac Rural Commodity Index also shows rising rural land values are provid
ing a buffer against debt and will be the main driver in post-drought recovery.
Westpac's Justin Smirk says most farmers will be able to withstand a drop in inc
ome next year.
"Over the last five years Australia's top farmers have actually been generating
rates of return that match if not exceed a lot of rates of return we see in othe
r assets around Australia," he said.
NFF hits out at make up of carbon emissions task force
The National Farmers Federation (NFF) is angry at the make-up of Prime Minister
John Howard's new task force to investigate carbon emissions trading.
President David Crombie says stacking the group with mining and energy interests
has hurt any real attempts to address climate change.
Senior staff from BHP Billiton, Qantas, Xstrata Alumina and the National Bank wi
ll join Federal Government bureaucrats on the task force.
Mr Crombie says it is extremely short-sighted of Mr Howard to exclude agricultur
e and other sector interests.
"Farmers do have it within their capacity to contribute to reducing emissions, w
hich are one of the major causes of greenhouse gas change and are linked with cl
imate change," Mr Crombie said.
"If farmers have a role to play there, which I believe they do, then it's import
ant that they be part of any long term plan going forward."
Meanwhile a national emissions trading summit in Sydney has been told agricultur
e is paying the price for a century of pollution generated by the coal and resou
rces sectors.
Australian Greens Senator Christine Milne says the Federal Government must set a
national cap on emissions and coal companies should be forced to comply.
Senator Milne says the resources sector has made massive profits and agriculture
has suffered as a consequence.
"We now have rural Australia suffering with extreme bushfires, with the collapse
of their whole agricultural productive system because of climate change," she s
aid.
"They are not being compensated for that by the coal industry so it's time that
the resource-based industries recognised that they have got a role to play.
Growers warned not to sign contracts
There are claims today agents and merchants in the fruit and vegetable markets a
re trying to get around the looming mandatory code of conduct.
Growers say they are being offered contracts before the new code is introduced i
nto Federal Parliament.
The code aims to make the sales process more transparent, so growers can see wha
t happens with their products.
Peter Darley from the New South Wales Farmers Association says growers should no
t sign anything just yet.
"I have had phone calls from producers as of yesterday saying that there are ...
contracts being presented by agents for them to look at and consider the obliga
tions of signing contracts," he said.
"I would suggest to growers at this stage the code has not been enacted on yet i
n Parliament.
"If they are going to sign, that they certainly get an independent opinion befor
e they go ahead and sign those contracts in consideration of their business."
The wholesale sector admits it is trying to circumvent the code before it is mad
e law.
Tas bushfire damage 'severe'
Houses, pasture and fencing have been destroyed in a 10,000 hectare fire on Tasm
ania's north-east coast.
An assessment of damage is expected later today but at least 18 houses have been
destroyed in the town of Scamander.

Local vet Tim McManus says the extent of stock losses is not yet known but at le
ast one farm has suffered extensively.
"Glencoe around us had very severe fire damage, many of their paddocks are burnt
and even now some of the bushland around them is still burning," he said.
Volunteer firefighters battle Vic blazes
Volunteer firefighters in Victoria are continuing to pour into the mountains to
relieve weary colleagues.
Milder conditions are helping firefighting efforts, although temperatures are du
e to climb again later this week.
Myrrhee in the north-eastern King Valley is not under direct threat, so members
of its fire brigade have joined the frontline effort.
Captain Bill Forge says the volunteers are doing all they can.
"Our crew have been working from fires at Whitfield for the last week, they're n
ot at Myrrhee at all most of them," he said.
Labor pushes for wheat export system inquiry
Federal Labor's new primary industries spokesman wants an independent inquiry in
to whether the single desk wheat export system delivers the best value to grower
s.
Tasmanian Senator Kerry O'Brien says while the system delivers the best value to
growers and the community, Labor will support it.
But he says the Federal Government should be appointing an independent group tha
t would investigate wheat export marketing and report publicly to Parliament.
"To have the community debate that report, rather than this closed door approach
to consultation that the Government has," he said.
US committee chief to let Senate decide on AWB probe
The new chairman of the US House Agriculture Committee says he will leave it up
to the US Senate to probe the AWB scandal, but will look at ways to prevent prob
lems in the future.
Collin Petersen says he is not interested in "assigning blame" based on "past hi
story", but in dealing with the monopoly practices of the AWB and the Canadian W
heat Board for the future: "We're not happy about the Australian Wheat Board, we
think that having this kind of a system is not fair and not right, and we've be
en trying to get rid of it for a long time, some of us," he said.
"So we will be watching to see how this is reconstituted and whether it is going
to be done in a way that is transparent, or whether it's going to be utilised t
o undercut us when we're trying to go into other markets."
Mr Petersen expects the Senate, under new democratic leadership, to look at why
the just-ended Republican Congress dropped any plans to probe the oil for food s
candal.
Meanwhile wheat exporter AWB has dropped prices for the 2006/07 national pool by
$8 a tonne.
The company blames a weaker international market for the decline, with the bench
mark premium white wheat now returning $242 a tonne.
Rice crop expected to drop
This year's rice crop will be one of the smallest in more than 50 years due to c
uts to water allocations in southern New South Wales.
The Department of Primary Industries estimates less than 12,000 hectares of rice
has been sown, only 10 per cent of average plantings.
Other industry sources say the figure is more like 15,000 hectares, which will y
ield around 130,000 tonnes of rice.
Griffith district rice grower Glen Andreazza says the late reduction in water al
location means he has had to abandon his rice crop.
"I had sown 80 acres of rice and had to de-water all of it," he said.
"It was to the point where all I had to do was to keep water on it and watch it
grow.

Bass Coast applies for EC assistance

One of the greenest parts of southern Australia is now putting its hand up for e
xceptional circumstances (EC) drought assistance.
Farmers on the Bass Coast in southern Victoria say they are suffering one of the
worst seasons on record.
Stephanie Symes from the Bass Coast Shire Council says district farmers are used
to much wetter conditions.
"It's the first time we've ever had stage four water restrictions applied," she
said.
Extra funds allocated for Qld sugar industry reform
The Federal Government has announced another $33 million to reform the sugar ind
ustry in Queensland.
One of the plans is to generate a third of Mackay's energy needs from nearby can
e fields.
Under a $95 million project, the Mackay Sugar Co-operative will transform one it
s mills to convert sugar cane waste into steam and then electricity.
Chief executive John Pollock says the funding will kickstart the plant.
"We're really pleased that $12 million that the Government have seen the value o
f the project and we presume that it's funding the early stages of that project
rather then the latter stages," he said.
Camels sold as weed eaters in Qld
Prices have fallen at Australia's third commercial camel sale but organisers say
there is a growing market for using the animals as weed eaters.
Camel breeder Paddy McHugh has sold 67 camels under the hammer at the Gracemere
saleyards in central Queensland.
He says while a few camels were bought to boost breeding numbers, most will have
new jobs managing weeds.
"That's probably the most predominant use of them at the moment, is to eat the p
arkinsonia and prickly acacia and all the wattle regrowth," he said.
"They do a great job and they coexist with cattle - they've got all sorts of fun
ny little things, the ruminant bug they pass on.
Drought forcing vegetable prices up
Shoppers are being warned that vegetable prices could rise by 30 per cent before
Christmas, and even double in January, as the drought continues to hurt product
ion.
But grower groups are worried that price hikes at the retail level are not being
passed back to farmers, with many locked into contracts that do not recognise h
igher costs.
AusVeg chairman Mike Badcock says some growers have raised concerns about profit
eering during the drought.
"I think while we can keep spreading the word that we'll be looking very hard at
margins and the returns to growers, hopefully that keeps everybody honest. Ther
e's an opportunity here to reward growers who have done the right thing, drought
proofed their farm and they do need some reward for that," he said.
The Australian Consumer and Competition Commission is reviewing prices in the me
at industry as well, with a report due next week.
And it is not just the drought that is set to hurt prices.
Fruit and vegetable growers in southern Queensland are counting the cost of deva
stating hail storms which swept through the region late yesterday.
While up to 90 millimetres of rain was recorded in gauges on the Darling Downs,
the hail has left a multi-million dollar damage bill.
Growers have reported damage to crops of cabbages, strawberries, plums, table gr
apes, tomatoes, mangoes and avocadoes and Stanthorpe lettuce grower Dean Radin s
ays that could mean a price rise at the supermarket.
Wholesalers not happy with fruit and veg code
The controversial regulatory code of conduct for the fruit and vegetable industr

y is expected to be signed off by the Governor-General today.

But sections of the industry still are not happy with it.
The code specifies how wholesalers and growers must deal with each other in the
future, but excludes supermarkets, the big retailers and processors.
Wholesaler Andrew Young, from the Central Markets Association of Australia, says
the code he has seen will be a cost burden for everyone.
"It adds significant administration costs. There's legal requirements that have
been introduced, which growers must obtain legal advice prior to executing an ag
reement with a wholesaler. There's much more prescription in terms of how wholes
alers can and cannot act and virtually requiring in excess 90 per cent of the in
dustry to totally change how they've done business for many many years," he said
.
Zinifex and Umicore link for zinc
Australia's largest lead and zinc miner will combine its smelting assets with a
Belgian company to become the world's biggest producer of zinc alloy.
Zinifex has signed a memorandum of understanding with Umicore to form a global c
ompany to produce 1.2 million tonnes of zinc and alloys a year.
Zinifex says it wants to concentrate on mining, but spokesman Martin MacFarlane
says existing smelter operations in Hobart and Port Pirie will not be affected.
"Those businesses tomorrow will continue on much as they have today, there's no
change to any of the employees terms and conditions for the short to medium term
future - we see the business will be very much as it is today," he said.
"Longer term, however, it may create and open opportunities that may not have be
en otherwise available just from the fact that Zinifex did not wish to develop t
hat side of the business."
Japan agrees to export talks
Despite concern over the impact on its agriculture sector, Japan has agreed to d
iscuss better access for Australian farm exports under a possible free trade agr
eement.
Formal talks on the trade deal will start early next year, which the Federal Gov
ernment believes could be worth $39 billion to Australia over 20 years.
Trade Minister Warren Truss says Japan might push for more opportunities to sell
niche products to Australia, but farmers here should receive the biggest gains.
"We are exporting a lot of beef into Japan at the present time, but all of it is
paying 40 per cent or more tariffs," he said.
Deadline for potential wheat exporters looms
The Federal Government wants potential wheat exporters to submit their applicati
ons by Friday, to give certainty to grain growers during the harvest.
Agriculture Minister Peter McGauran now has the power of veto over export applic
ations, after its removal from AWB in the wake of the Cole inquiry.
Mr McGauran says applications will be assessed on public interest grounds to max
imise returns to the industry.
Howard visits Vic firefighters
Prime Minister John Howard has visited firefighters in north-east Victoria, as t
hey continue to battle bushfires which have now burnt 400,000 hectares.
Thick smoke covered Whitfield as residents and Country Fire Authority (CFA) volu
nteers met with the Prime Minister today.
Made up of beef properties and vineyards, the Whitfield area in the north-east o
f Victoria has been threatened by fire since lightning strikes hit there a week
and a half ago.
John Howard has thanked firefighters for their work, and got a briefing on the f
ire conditions which are expected to last many weeks.
He also spoke with locals, mostly women, who are busy making cups of tea and san
dwiches for the crew.
He will visit the fire ground before flying to Tasmania, where he is expected to
make a funding announcement.

Meanwhile cooler weather on Tasmania's east coast is helping firefighters contro

l a bushfire which has burnt more than 11,500 hectares and destroyed 17 homes.
Firefighters are working to contain the fire ahead of forecast hotter and winder
conditions tomorrow.
Farmer Stephen Woods, whose two farms near Scamander were already hit by drought
, has saved his livestock, but lost more than 100,000 of pasture and another 700
hectares of bush.
Gorgon gas field development given green light
The WA Government has given the environmental nod to the development of the Gorg
on gas field on Barrow Island.
The island, off the Pilbara Coast, is a reserve that is home to the rare flatbac
k turtle and other endangered species.
Drought stalls dairy-based managed investment scheme
The development of the nation's first dairy-based managed investment scheme has
stalled due to the drought.
Carilla Dairy at Tintinara in South Australia's south-east has failed to find en
ough cows because of a lack of feed.
The company needs 2,000 head before it can issue a prospectus, but only has 1,20
0.
Peter Doman from Dairy Management Australia says despite the delays, he is confi
dent the scheme will be successful.
"We're going to try and keep on track, but obviously this year has presented its
problems for us," he said.
"We've just got to work towards what we're going to do over the next 12 months.
As you said, it's the first dairy farm that's going to be involved in a scheme,
we think it'll be sold next year and we think it'll go very very well.
The drought is hitting the dairy sector in general, with milk production droppin
g below the past two seasons.
EMS accreditation doesn't attract premium price: study
A study has found consumers will not pay extra for food just because it has envi
ronmental credentials.
Increasingly farms are adopting environment management systems (EMS), which can
cost up to $10,000 to implement.
The Australian Farm Institute has found products stamped with an EMS accreditati
on do not attract premiums, because consumers expect farmers to be environmental
ly responsible.
But spokesman Mick Keogh says the EMS system is useful to win new markets.
Aquifers being badly mismanaged: letter
Australia's underground water supplies are in crisis, according to a letter that
has been sent to all levels of government.
Written by seven of the country's leading hydro-geologists from the public and p
rivate sectors, the document says Australia's aquifers are being badly mismanage
d.
Spokesman Dr Rick Evans says on every level, from policy to education, efforts a
re aimed at repairing rivers, instead of restoring groundwater.
Santa gets helping hand from businessman
An anonymous Sydney businessman has donated $150,000 to buy Christmas hampers fo
r drought affected families in western New South Wales.
The donor says he wanted to let struggling families know that people in the citi
es do care about them.
Jamie Simmons from Broken Hill's Christian City Church hopes it will make a litt
le difference.
Saleyards industry worried about livestock dumping
With sheep selling for as little as 10 cents a head in some parts of the country

, the New South Wales Shires Association is calling on saleyards to waive their
fees.
But the industry is worried that saleyards could become a dumping ground for liv
estock in poor condition.
David Pollock from the Livestock Saleyards Association of Victoria says farmers
must consider the welfare of their animals.
"People should consider whether the animal is fit to load and to be transported,
and go through the rigours of the saleyard process before it's sent there," he
said.
"And if it's not in that condition, well then it shouldn't come to the saleyard.
"
And the RSPCA is urging graziers to look after their livestock following the con
viction of a 54-year-old farmer from southern New South Wales.
Llewellyn Mark Doulman was convicted on 77 breaches of the Cruelty to Animals Ac
t for his treatment of 2,500 sheep.
Court asked to streamline AWI case
Australian Wool Innovation (AWI) has asked the Federal Court to streamline its c
ase against the animal rights group PETA.
The peak wool body wants the claims of 101 woolgrowers heard separately, leaving
AWI, Elders Limited and BWK Elders Australia to go to trial against PETA and An
imal Liberation New South Wales.
AWI started its case against PETA in November 2004 and joined the woolgrowers to
the action in March, 2005.
AWI's counsel told Justice Rares his client proposed corralling the woolgrowers
separately for efficiency reasons to streamline the case.
But PETA's barrister Michael Jones said this would prejudice his client because
PETA wanted access to the farmers' contracts for sale of wool, financial records
and mulesing information.
Weather conditions to test firefighters
Hot and windy weather this afternoon is expected to test firefighters battling a
large fire near Tumut, in southern New South Wales.
The fire has burnt 13,000 hectares - mainly pine plantations.
Landholders in the Argalong and Goobruhgandra valleys have been on high alert si
nce yesterday afternoon, when the fire breached containment lines.
A handful of people have been relocated.
Last night firefighters were able to put in new containment lines but with hot n
orth-westerly winds forecast for this afternoon there is concern there might be
spot-overs.
Rural Fire Service Commissioner Phil Koperberg is touring the region and an extr
a 70 fire brigades have been brought in.
A sky crane helicopter is also adding to the aerial attack.
Forests New South Wales will attempt to salvage timber from the burnt pine plant
ations near Tumut.
At least 10,000 hectares of pines have been burnt so far.
Spokesman Bob Almond says trees that have been blackened can still be salvaged,
but there is a time limit.
Milk tankers help out firefighting effort
Dairy processor Murray Goulburn has come to the aid of Victorian firefighters wh
o are battling blazes in hot and windy conditions today.
Milk tankers are being filled with water and taken to the fire front for the Cou
ntry Fire Authority.
Brad Stokel from Murray Goulburn says the tankers will be used for as long as th
ey are needed.
"We've got tankers available and we put those in the locations that they request
," he said.
Bush called on to halt S Korea free trade talks

Key US farm state senators are demanding the Bush Administration end free trade
talks with South Korea, until Seoul ends a defacto ban on imports of US beef.
The seven senators made their request after the Koreans rejected three US beef s
hipments on claims the meat had tiny bone fragments.
Agriculture committee spokesman Keith Williams says the law-makers just ran out
of patience.
"Unless the exports of US beef resume and both countries are able to agree on a
reasonable and fair bone tolerance level for future shipments, then, anything le
ss than that, would result in the opposition of the senators that signed this le
tter," he said.
Administrator looks into Co-op's finances
The administrator of a fruit growers' cooperative in southern New South Wales ha
s told grower creditors that they will only get around a quarter of their money
back.
The Young District Producers' Cooperative Society, which processed dried fruit,
went into voluntary administration with outstanding debts of about $2.6 million.
Administrator Steve Parbery says there are also concerns the Co-op may have been
trading while insolvent.
"The question mark arises as to why the Co-op ended up in this position and it w
ould appear that the accounting that was done prior to June 06," he said.
Win for avocado growers in blight fight
Avocado growers have won their fight for tougher restrictions to protect the ind
ustry from the fungal disease, avocado blight.
Biosecurity Australia has imposed stronger rules for imported New Zealand avocad
o, including a ban on any fruit with windrub, which looks the same as blight.
Avocadoes Australia's Chris Nelson says the new protocols could lead to a rise i
n the cost of fruit for consumers.
"Because there will be less fruit exported to Australia there will be a change i
n that supply and demand balance and inevitably I guess the prices may rise to a
certain extent so they're looking towards probably a better return for the frui
t they do send over," he said.
Random inspections will be conducted on Australian fruit orchards this summer to
ensure growers are not breaching plant breeders' rights.
Fishing sector angry over marine park plan
Western Australia's commercial fishing sector is angry that is has not been cons
ulted about new marine parks planned for the state's north-west.
The State Government will create the parks, as part of an attempt to protect the
environment, once the $15 billion Gorgon gas field is developed on Barrow Islan
d.
But Guy Leyland from the WA Fishing Industry Council says the $130 million secto
r was not told about the plans, and still knows little about what is proposed.
"We learnt about an hour before the public announcement by the Minister," he sai
d.
"The Minister telephoned us and advised us that this is what the Government was
going to do.
"It's just pointing to I think that we weren't consulted more closely in terms o
f the Government's intention.
Wool prices up
Wool prices have ended on a positive note at the final Sydney auctions for 2006.
The northern wool market indicator has finished on 858 cents a kilo, up 11 cents
on last week.
The last sales for the year are being held in Melbourne and Fremantle today, and
wool broker Don MacDonald expects prices to stay firm.
"Yes I would think so, supply is now the main issue and I can't see any way the

market will flag off today," he said.

Drought expected to drive more from farms
Demographers and farm organisations say the severity of the drought is likely to
accelerate the trend of primary producers leaving the land.
The National Farmers Federation says it does not expect an exodus, but the droug
ht will continue the trend of fewer farmers running bigger properties.
Social researcher for the Victorian Department of Primary Industries, Dr Neil Ba
rr, says history suggests fewer young people will become farmers.
"In the census period before the 1983 drought there were 10,000 people aged in t
heir late 20s, 25-30 that entered farming in the five years before it, and then
in the late 1980s that had dropped to 6,000," he said.
Bushfire battle continues in Tas
Firefighters continue to battle large bushfires threatening the townships of St
Mary's and Irish Town in Tasmania's north-east.
The fire front is about a kilometre north of the towns, near the German Town Roa
d, and fanned by north-easterly winds.
Tasmanian Fire Service district officer Steve Lowe says crews are working on con
trol burning while conditions allow, but are bracing for an unfavourable weather
change tomorrow,
"It's still moving quite slowly at this time however the forecast is not favoura
ble for firefighting at all," he said.
Pressure mounts for quick wheat exports decision
Pressure is building on the Federal Government to make a quick decision on wheat
exports, with at least half a dozen companies lodging applications.
Agriculture Minister Peter McGauran now has the final say on who should be allow
ed to export wheat after the removal of AWB's veto in the wake of the Cole inqui
ry.
Sources say Brooks Grain, Cargill, Ozepulse and Louis Dreyfus are among several
exporters who have lodged the latest bids for around 3 million tonnes.
But Peter Howard from Ozepulse says it is still unclear if the new system will m
ake it easier for AWB's rivals to export wheat.
"It's new so there is a lack of clarity, I mean we're guessing what's going to h
appen," he said.
"I would hardly consider it would have any adverse effect on the national pool.
"I can't see if you grant another competitor an approval they've still got to bu
y the wheat, presumably you can't buy it for any less than what AWB are offering
you've got to pay more.
Mother of injured horse rider backs hard hats
The Northern Territory's outback community is rallying around a severely injured
campdrafter.
Quita Docking is recovering from a head injury she received four years ago, when
she was crushed by her horse.
In a miraculous recovery, she has left her wheelchair and learnt to walk, and ri
de again.
Mother Gladys Docking says she is grateful for local support which helped to sen
d Quita to Germany for stem cell therapy.
She also wants to encourage all riders to wear hard hats.
"Quita was always against it, as a teenager. I was always, always trying to get
her to wear it," she said.
"[She] never would, but [I continue to encourage use], now more so than ever. Qu
ita would still have suffered injuries, but they would have been minimised.
"It doesn't take much to have a bit of a hot head for a couple of hours, you can
take it off when you are off the horse.
Wool market ends year on high note
The wool market has ended the year strongly, with the eastern market indicator u

p 14 cents to 839 cents a kilogram.

Following solid gains in the Sydney sales early in the week, prices in Melbourne
jumped 16 per cent.
Merino fleece wools were in strong demand, with price rises across all micron ty
pes.
Buyers from China have dominated sales this year but a pick up in demand from ot
her countries has been a major factor in lifting the market.
Court date set for AWI case
A trial date has finally been set for Australian Wool Innovation's (AWI) long-ru
nning case against the animal rights group, PETA.
The Federal Court will hear the case over two months from October next year.
Legal action was launched against PETA in 2004 after it mounted an international
campaign to boycott Australian wool, over the practice of mulesing and live exp
orts.
Les Targ from AWI says the peak body plans to call more than 30 witnesses.
"I won't be specific about names but obviously we'll be talking people who are e
xperts in the area of fly control and experts in the geographic regions, and the
effect of flies in those regions, so we'll be calling on a range of experts," h
e said.
Roma saleyards for sale
Australia's biggest saleyard complex is on the market.
The council-owned Roma saleyards in southern Queensland will most likely be put
out to tender in the New Year.
But yard managers are already denying a possible sale will squeeze out smaller i
ndependent agents in favour of big companies like Elders and Landmark.
Chairman of the Roma saleyards board Rob Loughnan says it is early days in the t
ender process and a sale would have to benefit all parties.
"I want to hear from people about whether they think it would be better in priva
te or public ownership," he said.
"Its not just he money we're talking about, if someone wants to buy it just to s
hut it down in favour of another centre somewhere, you know, away from Roma, so
Roma loses the benefit of 400,000 cattle throughput a year, that's not going to
be of interest to us," he said.
Major livestock agent Elders has denied it is behind the possible sale of Roma.
Queensland livestock manager, Tony Gooden is rejecting speculation that his comp
any is either interested in buying the yards, or setting up its own facility in
competition to the council-run centre.
Tas bushfires wipe out $50m plantation timber
Tasmania's bushfires have destroyed plantation timber worth an estimated $50 mil
lion.
About 17,000 hectares of bush has been burnt on the north-east coast since the f
ire began last weekend.
Kim Creak from Forestry Tasmania says it is too early for accurate assessments b
ut early estimates place the losses in the tens of millions.
Stock losses assessed after Vic bushfires
Government inspectors are assessing stock losses after bushfires in eastern Vict
oria, which have destroyed about 20 houses.
Hundreds of kilometres of fencing, large areas of pasture and sheds have been de
stroyed in a number of locations in Gippsland and the north-east ranges, includi
ng around Toongabbie, Gaffney's Creek and Cooper's creek.
A 48-year-old man died when he fell off a trailer while fighting a fire near Hey
field in Gippsland.
There have been significant stock losses around Dargo, and Angus Hume, from Vict
oria's Department of Primary Industries, says farmers need to be ready for more
fire fronts in coming days.
"You really must make sure that you have water provided for stock and feed if yo

u have them in containment areas and just those general things that are about pl
anning beforehand," he said.
Climate change to worsen fire situation: report
The farmer-funded Climate Institute says high bushfire danger days will increase
by up to a third in the next 30 years, as a result of climate change.
The lobby group has analysed data from the Bureau of Meteorology and CSIRO, whic
h suggests Australia is likely to heat up and become drier.
Climate scientist Graham Pearman says governments need to decide whether they in
vest in measures to mitigate climate change now, or boost firefighting resources
later.
Farmers under pressure to compete in global trade
A new report backs farmer claims that they are under pressure to cut costs to re
main competitive in global trade.
The Australian Bureau of Agriculture and Resource Economics (ABARE) says while f
ood exports have grown at 10 per cent a year, it is getting harder to make a pro
fit in both export and domestic markets.
ABARE's Lisa Elliston says manufacturers and processors are also under pressure.
Farmers turn to Malaysia for cheap fodder
Dairy processor Murray Goulburn is looking to our northern neighbours for fodder
to help farmers feed their cows.
The first shipment of palm kernel extract from Malaysia is due in mid-January.
The extract is a by-product of the palm oil industry, and is made up of ground a
nd dried skins, and the flesh of the palm kernel.
Ross Greenaway from Murray Goulburn says the rising price of grain makes the ext
ract a cheaper option for farmers.
"This first load of palm kernel is $220 plus GST plus freight. That is very cost
effective compared to the current price of grain," he said.
Don't ignore depression, doctors urge
Rural doctors say their already tight resources will be stretched as the drought
drags on, but they are urging people to seek help for depression regardless.
The Rural Doctors Association says people feeling stressed and depressed to see
their GPs early, because problems can become worse the longer they are untreated
.
President Dr Peter Riesbieth says rural practices will have to prioritise their
appointments, but it is important to ask for help.
Riverina irrigators call for compensation
Riverina irrigators have rallied to voice their anger at New South Wales Governm
ent cuts to their water allocations, and are calling for compensation.
Rice farmers, dairy farmers and croppers, already had zero water allocations thi
s season, but since October the NSW Government has cut 52 per cent of farmer's c
arry over water.
This is water farmers have saved in the previous year, to use in the current dro
ught.
So today farmers are rallying in the streets, to show their anger at the State G
overnment's decision.
Farmers also say a number of towns and 1,500 farming families now could run out
of household water and water for stock.
Govt expected to change forestry investment rules
The Federal Government is expected to make changes to the investment rules for M
anaged Investment Schemes (MIS) for plantation forestry.
It is believed the Government will not remove tax advantages for investors, but
instead regulate how much invested money is spent on planting trees.
Liberal Senator Bill Heffernan says he would not object to the changes because A
ustralia needs more trees for environmental reasons.

But he wants the laws changed for schemes for annual crops, like wine, tomatoes,
olives and wheat.
Inmates trained to become croc farmers
Inmates from the Darwin Correctional Centre have been trained to become the next
generation of Northern Territory crocodile farmers.
Farmer Mick Burns helped to develop the croc handling course, which is designed
for prisoners from remote communities where problem crocodiles are common.
He says there are huge growth opportunities for farming and harvesting skin, and
meat.
'I think that there is real value in terms of development of the crocodile indus
try to develop regional satellite farms," he said.
"All we can really do is present the opportunity and make sure that we have the
infrastructure and the training, and the like, and then it's really up to the co
mmunities.
"So whether they are ex-prisoners or they are not, a lot of it is just about cre
ating an opportunity and we are pretty happy to be doing that.
Wheat export issue divides growers
Wheat growers across Australia are divided on whether Agriculture Minister Peter
McGauran should allow AWB's rivals to export wheat.
Mr McGauran now holds the wheat export veto and is considering 44 bids to export
wheat to 20 countries after calling on traders to submit their applications.
Farmers disagree on what Mr McGauran should do, but believe opening the market w
ould be the end of the single desk.
"It's too detrimental for the whole grains industry to allow those to take place
, it would effectively destroy the single desk as we know it," one farmer said.
"As far as we're concerned as growers, the single desk has run its day.
"To think that you are just going to chuck all that out in one year I think is e
xtremely dangerous, we need to have this debate first and then decide how our wh
eat is going to be handled."
Farmers debate single desk
Meanwhile Victorian grain growers are debating how they would like their wheat m
arketed overseas at a major forum in Bendigo today.
Sitting in a hot carpark under a marquee are just under 400 farmers, who have tr
avelled several hundred kilometres from Swan Hill and Horsham, as well as other
grain growing areas to have their say on the single desk.
The Victorian Farmers Federation (VFF), who have organised today's forum, wants
to retain the single desk and have it controlled by growers.
Qld storms crush fruit and cane crops
Severe storms which lashed south-east Queensland over the weekend have flattened
young sugar cane crops and destroyed fruit in the Childers district, near Bunda
berg.
Strong winds have brought down trees and power lines, while hail stones describe
d as half the size of cricket balls have damaged crops.
Cane, mango and lychee grower John Muller was set to harvest fruit in coming wee
ks, but says his crops have been almost completely wiped out.
"There's probably less than 1 per cent of the mangoes hanging on the tree and ev
ery one of them has five or six chops out of them," he said.
Program aims to encourage farmers to talk about depression
National organisation Beyondblue is launching a new program today it hopes will
encourage farmers and rural communities to talk about depression.
The organisation is launching the first phase of its drought action plan with In
citec Pivot.
Incitec staff will be trained to recognise symptoms of depression and point peop
le in the right direction for medical and financial help.
Incitec employee and sufferer of depression Noel Trevaskis says most staff are r

elieved they can offer practical support.

"If they're talking to a farmer or a farmer's wife or whoever, then they will be
able to have the skills to be able to recognise those signs and symptoms," he s
aid.
"They'll also be able to offer some help and advice as to where people can get h
elp to see them through the problem that they're experiencing."
Farmers fined over land blockades
For the first time, farmers in the central west of New South Wales have been fin
ed for stopping state authorities from investigating claims of illegal land clea
ring.
Farmers have blockaded two properties at Tottenham at the weekend.
The Department of Natural Resources says it had warned farmer representative tha
t fines would be imposed if access was blocked.
One infringement notice for an $1,100 fine has been served, with another two to
be handed out this week.
Department spokesman Steve Dunn says attempts had been made to work with land ho
lders but the department has a duty to carry out inspections.
Farmers assess bushfire damage
As bushfires continue to rage in eastern Victoria, some farmers have had a chanc
e to survey the damage caused by the blaze.
Stock, sheds and houses have been lost so far and landholders are gearing up to
protect their properties again as temperatures rise this week.
Gippsland farmers Roger and Kate Bond have lost poultry and sheds, although fire
fighters managed to save their farm house at Cowwarr and some sheep.
Both are wheelchair-bound and Mr Bond says it is going to take a long time to re
build.
Cane smut found near Townsville
The crippling fungal disease sugar cane smut has been discovered even further no
rth in Queensland, in the Herbert River region near Townsville.
The disease, which cuts crop yields, had been first found in the Isis and Bundab
erg area in June, and more recently in the central region near Mackay.
A two kilometre quarantine zone has been imposed around the latest discovery in
the Lannacost area.
Canegrowers chairman Alf Cristaudo says finding the disease in the wetter northe
rn region had been unexpected but growers are prepared.
"We would ask everyone now to be even more vigilant than they have been, it's di
sappointing and a surprise that we are finding it anywhere," she said.
Apple and pear plantings drop
New plantings of apple and pear trees have fallen by up to 6 per cent.
The latest Bureau of Statistics figures for 2005-2006 also show apple production
is down more than 15 per cent on the previous year.
SA Govt accused of mismanaging fish stocks
A long-term prawn fisher in South Australia is concerned about stock levels, acc
using the State Government of mismanagement.
An official report in SA has found the prawn catch is only one third what it was
in the 1970s.
Commercial fisher Maurice Corigliano says the Government has allowed overfishing
in Gulf St Vincent and wants boat numbers reduced.
The Government has had meetings with the fishermen and told them it is their res
ponsibility to ensure the fishery is managed sustainably.
Mr Corigliano says the Minister for Fisheries, Rory McEwen, is dodging the issue
.
"It's the Government's responsibility to manage that fishery, they have the powe
r to say how many vessels come in, how many vessels go out, when they can fish,
where they can fish, what size prawn they can take, what size vessels they can u

se," he said.
"Regrettably, he is simply not doing so and is simply dodging the issue."
The Prawn Boat Owners Association disagrees, saying numbers have not depleted an
d there is no need to reduce licences.
Currently there are only 10 licensed boats.
Govt finalises revamped horticulture code
The code of conduct for Australia's horticulture sector has been finalised by th
e Federal Government.
Federal Agriculture Minister Peter McGauran says any new agreements and wholesal
ers signed after December 15 will be subject to the code.
It is expected to be tabled in Parliament in February and will then become law.
Tas begins dairy cow exports to Pakistan
Tasmanian farmers are exporting live dairy cows to Pakistan for the first time.
About 1,000 cows are sent to China from Tasmania each year but that trade has sl
owed this season.
Livestock agent Craig Waldron says the new market looks promising, with Pakistan
paying $800 a head for cross-bred heifers.
"Given the season on the current returns of what you can expect to buy replaceme
nt stock for, it's pretty reasonable to buy a female that was only just recently
joined," he said.
Campaign spares Guyra horses
More than 100 horses have been granted a reprieve in the Guyra region of New Sou
th Wales after a campaign to stop them being sent to the knackery.
The future of the horses had been uncertain after their death and a farmer provi
ding agistment has asked for them to be moved.
Campaign coordinator Bianca Lyne says there are plenty of people who want to hel
p.
"People have called from as far away as Tasmania and I'm actually getting emails
even from overseas," she said.
Economists call for independent national water body
There are calls today for an independent, national body to control Australia's w
ater resources.
Two water economists have put together the plan to remove political tensions bet
ween state and federal governments.
One of the plan's authors, CSIRO Professor Mike Young, says a more responsive an
d consistent system is needed to decide water allocations, trading rules and ent
itlements.
Professor Young says there is widespread concern that the current system is hams
trung by politics.
"People are very frustrated with what's happening, there's a lot of frustration
around the rules over water trading and things like exit fees," he said.
"Every state is taking subtly different approaches, if you had a structure like
this it would all be resolved in a unified way, so there'd be no opportunity for
arbitrage from one state to another."
But there are concerns from irrigators that the proposal would leave agriculture
out of the water reform process.
National Farmers Federation irrigation task force spokesman Laurie Arthur says f
armers need to be represented.
"I have real concerns that agriculture will not be front and centre of the debat
e," he said.
"I'm a little bit concerned at the moment that expertise within agriculture for
example, within our irrigation companies, is a bit remote from the decision-maki
ng process."
Working together
Meanwhile, peak farm, water, environment and business organisations have agreed

to work together to push for improvements in water security for farmers and urba
n users.
The National Water Commission (NWC) stakeholder group has agreed on priorities,
including better water accounting and reporting, and addressing over-allocation
of rivers.
Commission chairman Peter Corish says the group realises that bodies outside gov
ernment can contribute to finding solutions to Australia's water problems.
Vets urge livestock checks in bushfire regions
Vets are urging farmers in bushfire-affected districts to check their livestock
once fires have passed through.
In Victoria's Central Gippsland area, 530 beef cattle, 62 sheep and goats and 12
0 chickens have been lost.
Department of Primary Industries vet Liz Parker says damage from the fires might
not show for some days.
"They can look really bad, they can be covered in black and look terrible, but a
ctually they really don't have much damage at all," she said.
"Other animals can look fine but the burns can be in the respiratory tract and s
ometimes the evidence of that doesn't come up for a couple of days as well, and
they can be really life-threatening and the animals might need to be put to slee
p."
Communities struggle this season
Meanwhile, it has not been feeling a lot like Christmas in parts of fire-ravaged
Victoria, with many communities cancelling festive events due to an increased f
ire threat this week.
But one country town found the time to host a carols service last night, to give
the locals a break from the worries of drought and fire.
Nova Underwood from Heyfield says it has been a stressful week, with the fire co
ming within 7 kilometres of her property.
"Christmas has been put on the backburner, but we're trying to encourage the spi
rit this week," she said.
Drought spurs calls to renew healthy sheep flocks
Sheep producers are being urged to take advantage of the drought, to refresh the
gene pool of the national flock.
Researchers at the Sheep Cooperative Research Centre have developed new technolo
gy to help graziers keep their best sheep, based on their breeding potential for
wool and meat.
Stud Merino Breeders Association president Will Roberts says producers are tryin
g hard to hang on to their best animals.
"In a lot of stud flocks and things they're not always age structured, they're q
uality structured, and it's a little more difficult and people are less reluctan
t to sell those animals anyway, so they try to hang onto them," he said.
Pork prices climb this Christmas
Demand for pork products has improved this Christmas, with prices lifting at ret
ail level.
The industry has been struggling against major competition from imports during t
he past few years, not helped by a strong Australian dollar.
But New South Wales pork producer Neil Unger says prices of around 300 cents per
kilogram are not keeping pace with increased production costs.
"Our cost of production is very, very close to $2.50," he said.
"We lose probably 20 cents in dockages because we don't like this one, that one
is too skinny, that one is too fat.
Turf industry loses out to rising water restrictions
Tightening water restrictions in many parts of Australia are taking their toll o
n the turf-laying industry.
The industry has lost $15 million this year, as home owners become reluctant to

lay grass they cannot water.

Turf Producers Australia spokesman Ray Moir says South Australia has been the ha
rdest state hit by the drought, with its largest business deciding to close its
doors after 25 years.
"It's having varying effects from state to state," he said.
Authorities arrest 10 Malaysian farm workers
Ten Malaysian workers have been arrested after allegedly working illegally on fa
rms near Menindee, in western New South Wales.
The group of six men and four women have been sent to Port Augusta in South Aust
ralia to face deportation.
Federal Immigration Minister Amanda Vanstone says they will be transported out o
f Australia as soon as possible.
Recycled water blamed for lettuce damage
Lettuce growers in Victoria fear their crops are being damaged by recycled efflu
ent water from the Werribee Sewage Farm, near Melbourne.
More than half of Australia's iceberg lettuces are grown at Werribee.
The farmers have been using the recycled water since last year, when the State G
overnment banned the use of underground water due to the drought.
Southern Rural Water spokesman Clinton Rodda says an investigation is under way
to find out what has caused stunted growth and discolouration of lettuces.
"Certainly the salinity is higher than ideal and this is an interim scheme until
, hopefully, the salt reduction program will move to lower salt in the long-term
," he said.
"But I think these farmers in Werribee south are very effective in the way they
manage their crops, they're aware of the higher salinity.
Some of them have dealt with higher salinity bores for many, many years in the p
ast, so they learn how to deal with those high salinity levels."
Growers face pressure over wholesaler contracts
A Queensland horticulture group says growers have been pressured into signing co
ntracts by wholesalers trying to avoid the industry's new code of conduct.
All contracts signed on or after last Friday are subject to the code, which is d
esigned to improve transparency.
Growcom spokesman Jan Davis says some growers had to sign contracts before Frida
y, while others were asked to back-date agreements.
NZ suspends Aust honey exports
Plans to export honey across the Tasman have hit a snag, with the New Zealand Hi
gh Court suspending the trade until a full biosecurity risk assessment is comple
ted.
Biosecurity New Zealand had given the nod to imports, but beekeepers appealed th
e interim decision, claiming Australian honey contains diseases that could threa
ten the local industry.
Aust vegetable imports outweigh export, growers say
Vegetable growers say Australia is importing far more produce than it exports.
Most of the surge has been for frozen and processed vegetables, particularly pot
atoes.
Peak grower body Ausveg says imports have jumped by almost 35 per cent in the la
st four years, to $375 million.
Ausveg spokesman Ian James says the trend is concerning, especially when vegetab
le exports have dropped back because of a loss of markets.
"Some of these frozen vegetables reflect renewed or different sourcing policies
of the food processors in Australia, in particular, over the last 12 months anyw
ay, a switch from Australian-sourced product to New Zealand-sourced product," he
said.
"But there has also been some substantial increases in imports coming from the E
uropean Union as well."

Emergency services failed to tackle fire: report

An investigation into the 2003 Canberra bushfires has highlighted a failure to a
ttack fires early and a failure to warn the public of impending danger.
Four people were killed and 500 homes destroyed in the blaze, which started in t
he mountains, west of Canberra.
The coronial report makes more than 70 recommendations, but there is concern ove
r how the ACT Government will respond.
ACT coroner Maria Doogan has handed down 15 findings on the cause of the fire.
Among them, the ACT Emergency Services Bureau had failed to aggressively attack
the fires.
They withdrew crews on the night they started, fire trails were overgrown, and t
here were heavy fuel loads.
She also found that in the face of drought and extreme fire conditions, the bure
au had inadequate maps, planning, bulldozers and other support for fire crews.
The coroner has acknowledged that the ACT Government had already given more stat
utory power to emergency services, but had since returned the fire control to an
swer to bureaucrats with no special emergency management knowledge.
Science students needed to combat future climate change
A lack of students wanting to study agriculture and science is causing concern.
Universities and scientific bodies say the shortage could hurt Australia's abili
ty to cope with issues like climate change and natural resource management.
The University of Sydney is blaming negative perceptions of the rural economy du
e to the drought, despite strong demand for graduates.
CSIRO spokesman Murray Cameron says a shortage of maths graduates has already de
layed some of its research programs.
"A lot of Australia's history in agriculture, for example, has been in our abili
ty to use genetics to breed better animals, better plant species, a lot of that
in the future is about using mathematics effectively," he said.
Fortescue gains access to BHP Billiton rail lines
The Federal Court has given Fortescue Metals Group open access to BHP Billiton's
iron ore rail lines in Western Australia's Pilbara region.
The decision means BHP Billiton can no longer stop other companies from using th
e Mount Newman and Goldsworthy rail lines, despite claiming them as part of its
own production process.
Foretescue has successfully argued that the lines were a 'service', under the Tr
ade Practices Act and should be available to all companies who need them.
Fortescue spokesman Graeme Rowley says the court has upheld a right to fair comp
etition.
"We not only now have achieved success for ourselves, but we've also achieved su
ccess for Australia," he said.
"We now go to the Australian Competition Tribunal to ask them to approve effecti
vely our access to that infrastructure.
"That overturns the Treasurer's decision that we could not have that access."
Cattle ID scheme issues being resolved: NLIS chairman
The chairman of the National Livestock Identification Scheme (NLIS) for cattle s
ays problems with the scheme are being addressed.
A leaked copy of an audit of the scheme, commissioned by the federal Agriculture
Minister, has highlighted problems with farmer cooperation, scrutiny of the sys
tem and different levels of state compliance.
Chairman John Wyld says the NLIS is working well overall, but admits there are w
eaknesses, including the lack of a back-up plan if Telstra's systems supporting
the database go down.
"Our contract with Telstra requires a full disaster recovery plan," he said.
"Now I'm aware there is an ongoing issue between MLA and Telstra, but it's reall
y a matter that Telstra's not been able to comply with but it's part of our cont
ract.

Drought blamed for lucerne crop failure

Dryland lucerne production in the upper south-east of South Australia has been h
it hard by the drought with virtually no hay cut this year.
The area between Tintinara and Naracoorte is generally regarded as one of the na
tion's biggest lucerne hay-producing regions but has recorded its lowest rainfal
l totals in a century.
Charlie Hilton from Lucerne Australia says if there is no rain in the next three
months, it is possible some long-established lucerne stands will be lost.
"If stands have thinned out to be not economic to leave, they are going to have
to be re-established," he said.
"Once you do that, you virtually lose production off those dryland paddocks for
a year.
Turf grass producer bites the dust
Tightening water restrictions in many parts of Australia are taking their toll o
n the turf-laying industry.
The industry has lost $15 million this year, as home owners become reluctant to
lay grass they cannot water.
Ray Moir from Turf Producers Australia says South Australia has been hardest hit
by the drought.
"It's having varying effects from state to state," he said.
Darling River weirs may prolong water period
Two temporary weirs have been built on the lower portion of the Darling River in
far western New South Wales to shore up water supplies.
The weirs, about 50 kilometres north of Wentworth, are built from compacted clay
banks containing large pipes and regulators.
Alan Whyte from Jamesville Station says it will not drought-proof the Darling, b
ut it will give landholders a more reliable water supply.
"We know the river is going to cease to flow within two or three months' time,"
he said.
"There was an opportunity to put some banks in to hold up a bit of water particu
larly for a few people who are below the existing Tulney Weir.
Canberra bushfires report damning
Landholders west of Canberra who warned authorities about the impending fire dan
ger in early 2003 say they have been vindicated by an investigation into the sub
sequent bushfires.
The ACT coroner has released a damning report on poor preparation and fire manag
ement for the blaze, which killed four people and injured 400 others.
One of the report's major recommendations is that the Emergency Services Agency
be reinstated as an independent body that is not answerable to bureaucrats.
Val Jeffery, a long-term firefighter who is credited with saving his village of
Tharwa, says someone should be held responsible for the disaster.
"There's a stark lesson here for the rest of Australia," he said.
Community 'weary' from bushfires
With temperatures set to rise in Victoria in coming days, landholders in the sta
te's east are once again gearing up to fight fires that are threatening private
property.
The fires have been burning for almost two weeks, destroying more than 700 hecta
res.
Gippsland farmer Julie Duffy says many landholders, families and volunteers are
becoming exhausted by the ongoing blaze.
"The whole community is weary," she said.
"The CFA has worked tirelessly.
Fuel thefts causing concern
Aviation fuel is being stolen from some remote Top End airports and there is con

cern the thefts could pose a major safety risk.

Charity charter company Mission Aviation Fellowship says up to 60-litre batches
of fuel are being taken from aircrafts in the small communities of Milingimbi an
d Raminging in Arnhem Land.
General manager Ian McBride says people are stealing the $2 per litre fuel on a
fortnightly basis to use in their own vehicles.
"Our main concern really, over and above the loss of the fuel, is the safety asp
ect," he said.
"Where aircraft get tampered with and fuel caps get left off and possibly fuel t
anks contaminated.
CWA distributes Xmas cheer to drought-stricken families
The Country Women's Association (CWA) has distributed some Christmas cheer to 68
0 families and 40 communities in drought-stricken New South Wales.
The state branch of the CWA has been allocating emergency funds as part of a Fed
eral Government aid program in October.
Up to $2,000 has been available to families to meet food and utility costs, whil
e grants of $3,000 have helped towns to hold community events.
Vice president Colleen Wills says the money has gone where it is needed most.
"To keep the phones going, car, for petrol, to get to town to do the shopping, t
o doctors - it's all the basics," she said.
'Santa' drops in on remote stations
Planes flying to remote stations are being loaded with hundreds of kilograms of
presents in the lead-up to Christmas.
Alice Springs-based Chart Air has flown to up to 60 properties across the Northe
rn Territory this week to deliver mail.
Pilot John Zonaras says he has been re-named Santa because half his mailbags con
tain gifts.
"The mail and that sort of stuff has definitely increased in volume," he said.
"Like today I had a mail run with 42 mailbags and about 350 kilograms so probabl
y a good 150 kilograms of it was presents.
AWB payments to Saddam regime not bribes: ATO
There has been a strong surge in AWB's share price today after the Australian Ta
xation Office (ATO) cleared the company of any wrongdoing in an investigation of
payments made under the oil-for-food program.
Findings from the Cole inquiry said AWB wrote off payments under the oil-for-foo
d program as tax deductions, including those to trucking company Alia.
It had been thought the company may have been liable for up to $450 million in p
enalties and unpaid tax.
But in a statement to the stock exchange, AWB says the tax office has found the
payments did not constitute bribes to foreign public officials under the Income
Tax Assessment Act.
The stock market has reacted favourably, with AWB shares gaining more than 7 per
cent this morning, trading at $2.81 shortly before 10:00am AEDT.
Meanwhile AWB's rivals are being asked for details on their prices, returns to g
rowers and the effect their applications might have on the national pool.
The conditions are set out in a letter from the Department of Agriculture sent t
his week to all the companies that want to export wheat.
The letter says the Government wants more information as it tries to establish t
he 'public interest' value of each application.
Exporter Peter Howard from Ozepulse says some of conditions are surprising.
"I think it's unusual - we've always thought and argued in the past that any app
lications approved wouldn't really have any effect to the detriment of the pool,
" he said.
"But I guess it's a point in question looking at what the cost might be to those
pool participants, would they increase if these applications are granted.
"Perhaps they would, but our answer is that surely AWB should be reducing those
fees to those pool participants."

NSW, WA support single desk

In another development, New South Wales grain growers have stepped up the battle
to save the single desk wheat export system at a rally in the Riverina.
Farmers in southern New South Wales have precious little wheat to sell this year
, but about 350 were in Narrandera to show their support for the single desk.
Local farmer Hugh Hart says it maximises returns to growers in a corrupt world m
arket.
"Give the power of veto back to the company," he said.
"Let them get on with the job and let's all look forward, so when it starts to r
ain we can make a quid again and cut all this rubbish out.
"We've had enough - no more inquiries, no more consultation, just get on with th
e job."
Nationals MP Kay Hull says farmers need to voice their support for the single de
sk to silence a noisy minority in the Federal Government.
National Party Senators Ron Boswell and Barnaby Joyce are expected to address th
e crowd.
In Western Australia, 200 growers have also backed the single desk at a public m
eeting in the Wheatbelt town of Mingenew.
Farmer Peter Hord says the meeting will probably come to nothing.
"It seems to be typical of all of the meetings that have taken place," he said.
US TAKES ACTION AGAINST AWB
US Agriculture Secretary Mike Johanns has temporarily banned wheat exporter AWB
from using his department's programs, in the wake of the Cole Inquiry.
Johanns acted following his directive last month that USDA resume debarment proc
eedings against AWB.
He says he's suspended AWB, several individuals and a Minnesota commodities firm
from USDA programs or purchases.
"The extent of our ability to act here is debarment.
"Now, Congress may look at this and say there's a need for a legislative approac
h. They certainly have a right to do that.
The suspension does not prevent Australian wheat from being sold in the US or af
fect AWB's ability to trade on commodity exchanges.
AWB spokesman Peter McBride says the programs have only ever been a small part o
f the business.
They include US government subsidies and loan guarantees for selling US crops ov
erseas.
He says the company voluntarily withdrew from the programs, when the UN inquiry
into the Oil for Food program began.
"We have not used this export subsidy program since early 2004 and we informed t
he USDA earlier this year that we would voluntarily stand aside from using the p
rogram in the foreseeable future.
"So we'll continue discussions with the USDA going forward, but we haven't used
the program in a long time and we didn't envisage using it ".
AWB's shares continue to trade strongly after yesterday's clearance by the Austr
alian Tax Office.
The ATO has accepted that payments made under the Oil-for-Food program did not c
onstitute bribes to foreign public officials, under the Income Tax Assessment Ac
t.
Austock analyst Paul Jensz says the ruling is worth around 50 cents to the share
price.
"It's one of the first bits of positive news to come out of what has been a fair
ly devastating year.
"This does help the momentum inside the company and the renewal and the change t
hat they're doing on a cultural level and a cost level ".
Not enough full-time doctors
While rural Australia continues to cry out for doctors, there's now alarm over t
he falling number of doctors willing to work full time.
The Australian Institute of Health and Welfare says the number of full-time GPs

fell more than 30 per cent between 2000 and 2004.

It says some country residents are now waiting up to three weeks for an appointm
ent.
Dr Peter Rischbieth, from the Rural Doctors Association, says the holiday season
will put extra pressure on rural communities.
"There are some towns that have massive influxes of population through the touri
st and holiday season, and some of these towns do struggle to provide appointmen
ts for both their residents and the tourists who are arriving, as well as some d
octors understandably wanting to have leave during this time with their families "
Wool growers advised to keep sheep
With the best demand conditions for wool in five years analysts are urging farme
rs to hang onto their sheep, with strong prices expected to continue into 2007.
Although the costs of hand feeding are proving difficult to meet for many wool p
roducers, some analysts think prices could reach ten year highs in the New Year.
Chief economist at Woolmark Chris Wilcox says the lower forecast in production i
s also keeping demand strong.
"The questions that I was being asked in China revolved largely about supply con
cerns.
"That, I think, will without doubt help support demand, certainly in the first q
uarter of 2007. It is worth persisting particularly into the first quarter and m
aybe a bit beyond ".
Banks back victorian farmers
It's been a pretty grim season for grain growers in Western Victoria, but the ma
jor banks are confident that there is still a future for farming in the region.
Senior staff from seven leading banks have attended forums this week to reassure
farmers that they aren't planning to foreclose on properties.
Bill Dean from the NAB says banks have worked hard over the past decade to impro
ve their relationships with farmers.
"I think the most important thing for farming customers is to keep the lines of
communication open, to sit down with their bankers, explore the options and work
out where they are going to go.
"In the majority of cases, we're seeing customers that, whilst they are concerne
d about what has happened in the last 12 months, they are very confident about t
he long term future, as the bank is ".
Confidence about gm wheat trials
Victoria's first crop of genetically modified wheat could be in the ground as ea
rly as next year, despite a state moratorium on commercial crops of GM canola.
The Government has applied for a permit and hopes to have trials of the drought
resistant wheat approved by June next year.
Dr Bruce Kefford from the Department of Primary Industries is confident of the t
rial's success.
"This is work we have done in collaboration with the CRC for Molecular Plant Bre
eding, some colleagues in South Australia, and other parties.
"There are actually a number of lines which have a number of potential treatment
s for drought resistance in them and we've got about thirty lines that will be t
rialled in quite small trials if it's approved ".
DAIRY FARMERS FEAR FEED PRICE RISES
The dairy industry is worried that a high level of wheat exports could affect lo
cal feed grain prices.
The Federal Government is expected to announce tomorrow, whether it will allow c
ompanies other than AWB to ship wheat overseas.
Head of Australian Dairy Farmers John McQueen says any further increases in grai
n prices would hurt the industry.
"As far as domestic prices go, it should make no impact whatsoever, and we would
be very disappointed if exports did anything to domestic prices.
"Domestic prices should not at any time go above import parity and our preferenc

e would be lower than import parity.

"Export licences should not give a green light to anybody increasing domestic pr
ices for grain ".
LOCAL FISH COSTLY FOR CHRISTMAS
The Sydney Fish Markets are preparing for the Christmas rush, with 80,000 custom
ers expected through the doors this weekend.
But they'll be faced with an expensive decision about whether to pay higher pric
es for local produce, or buy cheaper frozen imports.
The price contrast is expected to be even greater this Christmas, with the marke
ts' biggest supplier facing its worst year in four decades.
Russell Creighton from the Clarence River Fisherman's Co-operative says drought
has claimed another casualty.
"The seafood catch has probably been one of the lowest I've experienced and I've
been here for forty years.
"And the contributing factor playing a big part is the drought, because there's
no nutrient running into the river, and the rivers are the nursery for both insh
ore and offshore species of prawns and crustaceans. So we're really feeling the
pinch this Christmas ".
BEE INDUSTRY BUZZING
Beekeepers in eastern Australia are having mixed fortunes.
The eucalypts are bursting with flowers and nectar in southern New South Wales,
but low world prices, bushfires and drought are hurting.
Seventy per cent of Australian honey comes from eucalypts, and right now the gum
s in the Southern Tablelands are full of flowers.
Doug Sommerville with the NSW Department of Primary Industries says it's in resp
onse to a break after the last drought and the intensity of this one: "The fella
s are making good honey right now, off snow gum, yellow box, red gum, all in the
nice quality honey".
But he says disaster is imminent with the drought continuing and beekeeper Greg
Roberts says the fires of 2001 and now are devastating.
"It takes many, many years for species such as stringybark to come back after fi
re."
With low world honey prices, Australian beekeepers are switching from exporting
honey to exporting live bees to the US, under the free trade agreement.
REMOTE BUT EFFECTIVE
A new survey suggests that landholders in isolated areas should be using remote
monitoring technology to save more time and money.
The Kondinin farm research group travelled Australia looking into technology, su
ch as virtual fencing, walkover weighing and remote controlled helicopter muster
ing.
And Research and Development Manager Ben White says they found remote water moni
toring had the most potential to improve efficiency on properties.
The report, funded by Meat and Livestock Australia, will be released in February
.
KIWI WOMEN CHIP IN TO HELP IN BUSHFIRE BATTLE
New Zealand farming women are offering help to Australian families affected by t
he bushfires.
Rural Women New Zealand is trying to find out what help is needed, so members ca
n raise money, or send food parcels.
President Sherryl Dackers says the group has been in email contact with similar
women's networks in Victoria.
"From Australia we've had the suggestion that we may be able to support some wom
en who probably after this disaster won't be able to afford to go to a conferenc
e which is being held in Australia, and also with food parcels.
"What we as rural women New Zealand would like know is what your rural people wo
uld need in way of assistance ".

AT ONE WITH TUNA IN BRINE

Forget swimming with the dolphins. Tourists can now swim with the most valuable
fish in the sea - tuna.
In South Australia, a Port Lincoln charter company will allow people to swim in
a sea farm with about 100 tuna fish, worth up to $5,000 each.
Matt Waller, from Calypso Star Charters, reckons there'll be plenty of interest.
"I've seen them sit behind a boat at 10 to 12 knots, sort of 15 to 20 kilometres
an hour for up to half an hour. I've seen quick reflex speeds of probably 40 to
50 kilometres an hour.
"They travel all around Australia, around the world, and they return to the same
places year after year.
AWB payments to Saddam regime not bribes: ATO
Cattle ID scheme issues being resolved: NLIS chairman
Drought blamed for lucerne crop failure
Turf grass producer bites the dust
Darling River weirs may prolong water period
Canberra bushfires report damning
Community 'weary' from bushfires
Fuel thefts causing concern
CWA distributes Xmas cheer to drought-stricken families
'Santa' drops in on remote stations
Stallholders fed up with Christmas produce
Stallholders at fresh food markets around the country could be suffering from fe
stive fatigue.
Fruit and vegetable sellers, as well as seafood and poultry stall owners, seem t
o be a bit reluctant to eat their own produce this Christmas.
Here are some views from Melbourne's Queen Victoria Market.
"We've already 'mangoed' out, the kids don't want any more," one stallholder sai
d.
"I don't really go for the turkey at Christmas lunch, I generally go for more ..
. lamb or beef or something," another said.
Poor harvest disappoints NT grape growers
There is financial pressure on Northern Territory table grape growers after anot
her disappointing harvest in the major production area.
Nematodes and termites have meant that most of the vines in the Ti-Tree region h
ave had to be replanted in recent years.
The president of the Northern Territory Grape Producers Association, Greg Kahl,
says producers expected higher yields from the young vines in the next few years
.
"We've been battling on for a number of years, our production still hasn't got b
ack to the levels, 2000/2001 harvest," he said.
"Basically on expectations across the board [we're] about 60 per cent down.
New owner for Cowra abattoir
An abattoir in central western New South Wales, at the centre of a row over the
Federal Government's workplace reforms, has a new owner.
The previous owner of the Cowra abattoir sacked 28 staff under the WorkChoices l
egislation and then offered to reinstate them at a lower rate.
The plant was handed over to adminstrators in August this year and then closed.
New owner Chris Cummins says major changes will have to be made to make the abat
toir viable.
"Obviously we will have a reduction in staff," he said.
"The place failed before because it was over-manned.
"For a start there will be working an eight hour day, which wasn't the case befo
re.
"All the chains will be wound back.
"We will have a pretty good product coming out of there, probably as good a prod

uct as anywhere on New South Wales will come out of there.

"It's a good plant and needs a little bit of money spending on it, it is in a gr
eat position.
King Island to sign Kyoto protocol
Tasmania's King Island is planning to sign the Kyoto protocol and formally commi
t to reducing its greenhouse emissions.
While the island is well-known for its clean and green produce, residents believ
e that signing the agreement would further boost its reputation.
Mayor Charles Arnold says he hopes the move will also send a clear message to th
e Federal Government, which is refusing to ratify the protocol.
"Our politicians think by their hip pocket and if they see that the people in th
e community want to stand up and be heard, I think that's what should happen," h
e said.
US considers farm spending cuts
The US administration is openly discussing the need to cut US farm spending, eve
n before a possible resumption of world trade talks.
US Agriculture Secretary Mike Johanns told a reporter recently that the US farm
support system may be sitting in quick sand, under challenge abroad in the WTO (
World Trade Organisation) and under fire at home with a budget strained by wars
in Iraq and Afghanistan.
"We're doing all we can to get the federal budget under control," he said.
"The leadership now of the House and the Senate have talked very, very publicly
about this notion that you have to pay for things as you go.
"Those are strong messages that the budget is going to have an impact on policy.
"
Woolworths CEO details drought relief strategy
Sustainable agriculture, drought relief and climate change are the three issues
dominating the agenda for the new boss of Woolworths.
Chief executive Michael Luscombe says the supermarket chain has plans to create
'green supermarkets', improve the company's waste management and reward producer
s whose farms are environmentally friendly.
Mr Luscombe says in the short-term, the company is working with the Country Wome
n's Association on a special drought relief project.
"We have decided that we're going to have a national drought relief action day o
n the 23rd of January," he said.
"And on that particular day in 760 supermarkets we're going to donate the profit
from that entire day's sales to drought relief."
Early Christmas gift for central NSW farmer
Christmas has arrived early for at least one lucky farmer in central New South W
ales.
With water supplies so critically low, many landholders will not be spending the
festive season with families who live far away because they cannot risk leaving
the farm for even a day in case stock run out of feed and water.
But Paul Stewart from Mudgee was lucky enough to be under an isolated thundersto
rm yesterday that has revitalised his Christmas spirits.
"Almost every dam was empty and almost every dam is full to overflowing," he sai
d.
"It was beautiful to watch because we had absolutely no chance of getting away a
t all with worrying about troughs and pumping water from here to the stock, but
we won't have to worry about that now."
The weather bureau is forecasting possible isolated showers and storms late toda
y and tomorrow over most of New South Wales.
A rain band is moving in from the south-west and rain is forecast this weekend r
ight across the state.
Thunderstorms bring welcome rain to Eyre Peninsula

There has been a wide range of rainfall totals recorded in South Australia, as a
result of large thunderstorms which crossed the state overnight.
While the rain barely settled the dust in some areas, dams were filled on the ea
stern Eyre Peninsula and through the state's mid-north.
Jan Girdham, who farms between Kimba and Cleve, had one of the highest totals wi
th 52 millimetres.
MIS plantation forestry tax incentives to stay
The Federal Government has decided not to remove tax advantages for investors in
plantation forestry under managed investment schemes (MIS).
But under new changes it will change the law, to ensure that at least 70 per cen
t of investor's money is spent on trees, instead of other projects.
Farmers believe the scheme creates unfair competition for land and water, but as
sistant treasurer Peter Dutton says the farm sector also receives help.
"The Government has put in place a deliberate strategy to make sure that we supp
ort the forestry industry," he said.
"At the same time we have provided many other tax incentives and support through
the tax system and government policies and otherwise for traditional farming me
asures such as the Farm Management Deposit Account so it's about providing a bal
ance."
The Government has also launched a three-month review of the taxation of non-for
estry MIS for crops such as grapes and tomatoes.
But there is criticism from the investment and the farm sector over the continua
tion of the timber tax deductions.
Former rural banker and agricultural business consultant David Cornish says the
Government has done nothing to address community concerns over the impact of pla
ntations.
He says traditional farm enterprises are being overlooked.
"These are just massive tax distortions or subsidies which are leading to distor
tion of capital into rural Australia," he said.
Govt to buy back more scallop fishing licences
The Federal Government will buy back another 150 fishing licences as part of its
program to reduce over-fishing in Australian waters.
The new scheme includes one third of the scallop fishers in the northern prawn f
isheries and 14 per cent of Bass Strait scallop fishers.
Their earlier applications for buyouts were not considered good value by the Gov
ernment.
McGauran approves non-AWB wheat export contracts
Federal Agriculture Minister Peter McGauran has approved two wheat export contra
cts for companies other than AWB.
One of the contracts is for 300,000 tonnes for Wheat Australia to ship wheat to
Iraq, where AWB has been banned from trading and one for Western Australian-base
d CBH of 500,000 tonnes to Indonesia.
Mr McGauran says of the 46 applications received they were the only two consider
ed to be in the public interest.
He says AWB has given assurances the two applications will not have an impact on
national pool returns.
As a condition of the export permits, both Wheat Australia and CBH must contribu
te $4 a tonne to the national pool up to a total of 800,000 tonnes.
Meanwhile, the head of AWB International has warned the Federal Government he wi
ll have no other choice than to wind up the company, if its veto over wheat expo
rts is removed permanently.
AWB International chairman Ian Donges says the Government must be careful in wha
t it decides.
"I think a lot of commentary has been around," he said.
"We can have the the bulk veto powers with someone else and have a permit system
along side a single desk system.
"Quite clearly you can't do that.

"If the single desk closes down or in fact changes to the point where we don't h
ave a future for the say [in] the 2007 pool then we will phase out of business.
Early grain harvest sees farmers enjoy pre-Christmas activities
Victorian grain farmers are being roped into Christmas preparations by their fam
ilies, with harvest finishing early.
Usually most croppers are stripping paddocks right up to and after Christmas day
, but the drought has had a drastic impact on yields.
Grain growers say the extra time this year is a mixed blessing.
"I actually didn't sow a crop this year, so maybe I'll have an early Christmas,
a nice early Christmas," one grower said.
"Had a bit more Christmas shopping time, so it's good to get that done instead o
f at the last minute," another said.